Denmark | Vaccination has limited the Delta variant to a downside risk
The flash release estimates that GDP expanded 2.2% in Q2, slightly better than our 2.1% estimate, pushing the Danish economy above its pre-pandemic level. We have therefore raised our 2021 GDP growth forecast by 0.1ppt to 3.2%, which will be followed by 3.4% expansion in 2022.
What you will learn:
- Growth this summer should be supported by a partial rotation back into spending on services and buoyant retail activity as consumers continue to unwind excess savings accumulated during the pandemic.
- The Delta variant remains the key downside risk. But Covid cases remain contained so far
- Goods inflation remains elevated, but services inflation fell back.
- Our forecasts up to 2024 for all of the key economic indicators including GDP, Consumer demand, exports of goods and services, Domestic demand
Tags:
Related Services
Post
NBP puts hikes on hold despite rising inflation and FX woes in Poland
The National Bank of Poland (NBP) kept its policy rate unchanged at 6.75% yesterday, undershooting consensus and our expectation of a 25pbs move. The decision took place against the backdrop of another upward surprise in inflation, which picked up to 17.2% in September, as well as mounting pressure on the PLN, not least due to the hawkish shift of AE central banks.
Find Out More
Post
Local rates and FX: Asian local currency sovereigns – not long now
The pieces are almost in place for a high conviction OW on Asian local currency debt, but not quite. Indeed, we maintain a cautious view on all EM local currency sovereign bonds, including Asia, given the relentless concern over the dollar and domestic inflationary pressures.
Find Out More