What does 3m/3m Saar show??

[WenWenti]

Hi there,

am totally stuck with this and can't find it on any website....please help!??

Looking at economic analysis, i have been seeing "3m/3m Saar" for indicators. I know that SAAR = Seasonally Adjusted Annualised rate. But what exactly does the 3m/3m indicated. Is it a 3month on the previous 3month? 3month on the same 3 month last year? If anybody could explain this i would be eternally grateful!

thanks

[Buenchico]

I know little about the science (if, indeed, it can be called a 'science') of economics but data which compares the same three months in successive years wouldn't need to be seasonally adjusted. (For example you can't 'seasonally adjust' data for ice cream sales in January to March of 2010 against the same three months in 2009, since it's the same 'season' anyway).

So the comparison needs to be made using different 'seasons', normally successive ones. Hence I assume that 3m/3m must refer to data from successive three-month periods.

Chris

[ABerrant]

I presume 3m/3m is synonymous with QoQ (Quarter on/over Quarter) but with the flexibility of allowing the selected 3 months to span successive quarters e.g.

if Q1 = (Jan, Feb, Mar) and Q2 = (Apr, May, Jun)
then whereas QoQ = Q2/Q1
3m/3m could be (May, Jun, Jul)/(Feb, Mar, Apr)

[WenWenti]

Thanks!!

Buenchico! Great logic, highlighting a lack of thinking on my part. Also thanks to you Aberrant for clarifying!

[JYoungDF]

I'm pretty sure this means a seasonally adjusted comparison of a three month period to the same three months a year before. Regarding the answer below, there can be need for seasonal adjustment for the same three months year-on-year. The most common example being changes in Holy Week, a common period for vacations in many countries, moving from March to April or vice versa. That can affect 1Q and 2Q analyses. Another common one is Leap Year with an extra day in the month or elections in some countries, where election day is a holiday.