RBC economists added the "reality.....>

US DATA REACT: RBC economists added the "reality is that following some pretty

constructive reports for both durable goods and trade (both June reports that

help round out the quarter), there is even more pronounced upside risk to the

consensus call that GDP expanded a more modest 2.5% in the quarter. The risk of

a 3-handle print is palpable." (Thursday's June durable good orders rose 6.5%,

while the US June advance seasonally adjusted census good trade gap was

-$63.9B.) 

- They said "the just released durable goods report witnessed a significant

headline print led by a monster increase in aircraft orders: this was flagged by

strong Boeing orders for the month. Beneath the surface, although the capex

proxies (both orders and shipments) were below consensus for June, there were

significant upward revisions to the May numbers that more than made up for this

shortcoming" so "a better outcome that shd boost expectations for Q2. We had a

flat baked in for capex but have marked it up to +3% after this durables

report."