Australia building approvals for July
-5.2 % m/m and a big miss
- expected -2.0% m/m, prior +6.4%
-5.6 % y/y and ditto for the miss
- expected -3.0% y/y, prior +1.6%
Something to note is this has been slowing, no doubt on that, slowing for an albeit high level. There is plenty of supply coming on line, which is a factor weighing on prices. As prices stabilise to fall it a reasonable response from industry to slow seeking approvals. Circle of life, innit?
;-)
Another point to note, I note this quite often, is this is a volatile data point. The 'trend' lines in the above graphs are a better representation of what is going on …. i.e a turn down from high levels (the graphs don't go back very far, but trust me in this, the turn down is from high levels).
