Market react to the overnight Australian.....>

AUSSIE: Market react to the overnight Australian GDP release.

Westpac - This report gives us no reason to change our interest rate outlook or

growth forecast - expecting no RBA rate increase in 2018, with growth slowing to

a below trend 2.5% in 2018. A constrained consumer and the associated

uncertainty for business will make it very difficult for the RBA to achieve its

3.25% growth forecast for 2018. The RBA's inflation forecast of 1.75% for next

year looks to be in line with the information in this report.

Nomura - Nomura - Today's data also help reinforce our expectation that relative

AUD underperformance will continue in 2018, driven by: 1) the ongoing monetary

policy divergence between a patient RBA and other major central banks; and 2)

the bias for a lower Australian termsof-trade. Moderating growth in China given

the push for supply-side reform and deleveraging, as well as still rising supply

globally should remain headwinds for base metal price.