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Are financial variables a useful complement for GDP nowcasting?
[Les variables financières, un complément utile pour la prévision de PIB ?]

Author

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  • Barbara Castelleti Font
  • Pavel Diev
  • William Honvo

Abstract

Severe financial market stress can result in significant errors in the forecasting of quarterly GDP growth. This post focuses on the impact of financial variables on the short-term forecasting of GDP in France. A financial conditions indicator can provide useful qualitative information to the forecaster on the risks associated with the baseline projection. De fortes tensions sur les marchés financiers peuvent conduire à des erreurs de prévision importantes de la croissance trimestrielle du PIB. Ce billet s’intéresse à l’impact des variables financières sur la prévision à court terme de PIB en France. Un indicateur de conditions financières peut donner une information qualitative utile au prévisionniste sur les risques liés à la prévision centrale.

Suggested Citation

  • Barbara Castelleti Font & Pavel Diev & William Honvo, 2019. "Are financial variables a useful complement for GDP nowcasting? [Les variables financières, un complément utile pour la prévision de PIB ?]," Eco Notepad (in progress) 136, Banque de France.
  • Handle: RePEc:bfr:econot:136
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