US GDP surprise reignites taper fears

US treasury yields have jumped and US futures have fallen after the second reading of US GDP growth for Q3 saw a large upward revision.

The US recorded annualised GDP growth at a rate of 2.8% in the first reading, but this increased to 3.6% in the second reading, far above analysts' expectations. The Wall Street consensus was for an upward revision to 3.1%. US futures immediately turned south on the news as investors fretted the stronger than expected growth could lead to imminent tapering by the world's largest economy. After the release of the data, the yield on the 10-year treasury jumped to 2.87%, a level last seen before the September Federal Open Market Committee meeting at which the Federal Reserve was expected...