Australia's economy unexpectedly accelerated in Q2, strengthening the case for further tightening by the RESERVE BANK OF AUSTRALIA. The Australian Bureau of Statistics reported Q2 GDP +0.4% QoQ (consensus 0.3%) and +2.1% YoY (consensus 1.8%). The prints suggest prior RBA measures to curb inflation have not materially slowed activity. GDP will be a key input ahead of the RBA's Sep 28–29 meeting. NAB economist Sally Auld, after stronger-than-expected inflation, now expects a September hike and sai

Australia's economy unexpectedly accelerated in Q2, strengthening the case for further tightening by the RESERVE BANK OF AUSTRALIA. The Australian Bureau of Statistics reported Q2 GDP +0.4% QoQ (consensus 0.3%) and +2.1% YoY (consensus 1.8%). The prints suggest prior RBA measures to curb inflation have not materially slowed activity. GDP will be a key input ahead of the RBA's Sep 28–29 meeting. NAB economist Sally Auld, after stronger-than-expected inflation, now expects a September hike and said the risk of a further November increase "leans to the upside." The RBA held rates unchanged for a second straight meeting last month after three hikes from Feb–May.