When is the Australian Q3 2022 GDP release and how could it affect AUD/USD?

Australian GDP overview

Reserve Bank of Australia’s (RBA) readiness for further increases in interest rates and expectations of solid economic recovery highlights Australia’s third-quarter (Q3) Gross Domestic Product (GDP) figures, up for publishing at 00:30 GMT on Wednesday, for the AUD/USD pair traders.

The recent data from Australia portray a mixed picture as downbeat housing market data and labor participation rate contrasts with upbeat export growth and consumer spending. Even with these statistics in mind, the Aussie Q3 GDP is likely to print slightly better figures.

That said, forecasts suggest the annualized pace of economic growth to come in at 6.3%, above the previous period's 3.6%, while the quarter-on-quarter (QoQ) numbers could mark the 0.7% growth figures versus 0.9% prior.

Ahead of the outcome, Westpac said,

How could it affect the AUD/USD?

AUD/USD remains pressured around the 0.6700 round figure, making rounds to the 100-DMA support, as a lack of major data/events joins the pre-GDP anxiety to challenge the pair traders.

That said, Australia’s Q3 GDP is likely to carry less importance for the pair traders, considering the present focus on the risk-aversion and hawkish Fed bets. Also likely to dilute the importance of the data is the latest Reserve Bank of Australia (RBA) monetary policy meeting that stated household spending is expected to slow over the period ahead while also confirming that the Australian economy is continuing to grow solidly.

Hence, positive data from Australia might offer a knee-jerk rebound in the AUD/USD prices but not affect the overall bearish trend. On the contrary, downbeat figures won’t hesitate to please bears with a fresh multi-month low.

Technically, failure to cross the 61.8% Fibonacci retracement level of the June-October downside, near 0.6855, joins bearish MACD signals and steady RSI to favor AUD/USD bears. However, a clear break of the 100-DMA support near 0.6690 becomes necessary for the sellers to aim for a late November swing low near 0.6585.

Key notes

AUD/USD floats above 100-DMA support ahead of Australia GDP

AUD/USD Forecast: Bears gearing up for a test of 0.6500

About the Aussie GDP release

The Gross Domestic Product released by the Australian Bureau of Statistics is a measure of the total value of all goods and services produced by Australia. The GDP is considered a broad measure of economic activity and health. A rising trend has a positive effect on the AUD, while a falling trend is seen as negative (or bearish) for the AUD.