Australia’s GDP Data Conceals Blistering Demand Growth

SYDNEY—The initial reaction to Australia’s third quarter economic growth data on Wednesday was one of mild disappointment. But a deeper dive into the numbers reveals an economy bubbling along quite nicely.

The economy grew by just 0.4% in the quarter, well short of the growth of 0.7% expected by economists. When measured from a year ago, the economy grew by 2.1%, up from 1.8% in the second quarter.