Germany Q2 GDP Beats Estimates as Export Rebound Drives Upward Revision

Germany's economy grew 1.0% year-on-year in the second quarter of 2026, topping the prior reading and consensus estimate of 0.9%, while quarter-on-quarter growth came in at 0.3%, also ahead of the 0.2% expected. The outperformance was driven by a resilient export sector, with goods exports rising 2.6% on the quarter, though analysts caution that growth is set to slow in the months ahead. Elsewhere, the Bank of Japan reported that core-core CPI excluding special factors accelerated to 2.2% in July from 2.0% in June, keeping pressure on the BOJ as it navigates policy normalization.

In India, Bank of America raised its FY27 GDP growth forecast to 6.9% from 6.5% and expects the Reserve Bank of India to begin policy normalization in December 2026, lifting the repo rate to 5.75% from the current 5.25%, with key risks centered on a weak monsoon threatening rural cash flows and AI-driven job displacement in the services sector. Gold prices slipped after four consecutive sessions of gains, and silver fell sharply by Rs 4,300 per kilogram in Indian markets, as investors positioned ahead of U.S. inflation data and a closely watched speech by Fed Governor Kevin Warsh at the Jackson Hole symposium.