Private Capital Expenditure from the Australian Bureau of Statistics
The two key figures in the capex survey are:
- Q2 2017 actual spending
- 2017/18 expectations, today we get the 3rd estimate
On 1 ...
- A big beat for the headline, comes in at 0.8% q/q against expectations of 0.2%
On 2 ....
- Latest estimate (3rd estimate) 2017/18 capex A$101.8 bln (a big jump from the 2nd estimate of 95.9bn AUD). Note, although it's a good jump it down 3.6% on the 3rd estimate this time last year (last year reflected 'lumpy' items like LNG investment flows, so comparing to this time last year is a tricky comparison)
More:
- Q2 building capex -0.6 pct q/q
- plant/machinery capex +2.7 pct q/q (this will go into next week's GDP release)
Bottom line is this is good report and should be a positive for the Australian dollar
More:
- Mining investment is down 22% y/y ... no surprise here ... this "cliff" continues
- manufacturing -3% y/y
- On the other hand, services investment is up 10% on the year - very encouraging from a sector that was lagging ... a positive sign for the Australian economy
more to come
--
ps. For more background on this check out the previews
