Spanish GDP Stronger Than Expected in Q3

SPAIN Q3 FLASH GDP +16.7% Q/Q SA, -8.7% Y/Y WDA

SPAIN Q2 GDP REVISED -17.8% Q/Q; -21.5% Y/Y

• The Spanish economy rebounded sharply in the third quarter, rising by 16.7% and coming in stronger than markets expected (BBG: +13.5 q/q)
• Annual growth posted another decline, although at the slower pace of 8.7%.
• Growth rates for Q2 have been revised up slightly for both the quarterly and the annual rate.
• Household spending surged to 20.7% in Q3 after plunging by 20.4% in the previous quarter.
• On the other hand, government consumption eased by 0.4% after rising marginally in Q2 by 0.2%.
• National demand contributes positively to GDP, rising by 15% with imports growing 28.4%, while exports increased 34.3%
• The report notes that hours worked only dropped by 6.2% in Q3, which is 18.7pp higher than in Q2