The data for economic growth in Australia for the July to sept September quarter is here
Comments via Westpac (in brief):
- economy lost momentum … centred on housing and the consumer against the backdrop of a further tightening of lending standards to the housing sector.
- Business investment also took a step lower, led by mining, with the completion of major gas projects.
- Jobs growth remained robus
- Drought … supply disruptions in the mining sector, were headwinds
- household incomes were also soft
- gain in spending was again 'funded' by a reduction in savings - the savings rate falling … to … a post GFC low
- Business investment was disappointing
- Public demand and net exports were key growth engines
JPM:
- consumer spending pull back a little
- Wage growth is low
- household savings rate is also pretty low
- housing is slowing means the wealth effect... is no longer supporting consumption
Meanwhile, AUD not bouncing much:
