Economic wrap: Q4 looking better on US ISM - Westpac

Analysts at Westpac offered an economic wrap.

Key Quotes:

"US construction spending rose 0.9% in Nov (0.5% expected), with upward revisions in non-residential and public construction. Following this update, the Atlanta Fed upgraded its model prediction for Q4 GDP from 2.5% to 2.9%. ISM manufacturing rose from 53.2 to 54.7 (53.8 expected) – a two-year high.

The GDT dairy auction saw all prices down 3.9% on average, with whole milk powder down 7.7%. The result was worse than predicted by futures markets which had priced a small decline given the higher product volumes on offer."