Equities showed signs of recovery as traders balanced resilience in the US economy with firming expectations of Federal Reserve cuts in coming months. Economic growth accelerated by more than forecast in the second quarter, illustrating demand is holding up under the weight of higher borrowing costs. Gross domestic product increased at a 2.8% annualized rate after rising 1.4% in the previous quarter. The US economy is much stronger than people realize and to the extent that markets were worried about a growth slowdown, they should breathe a sigh of relief after the GDP number. In major currencies today, all of them were little changed, the euro at $1.0853, the Japanese yen at 153.80, the offshore yuan at 7.2473 per dollar while the pound sterling was 0.09% higher versus the USD at $1.2868.
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