New Zealand BusinessNZ Performance of Services Index
- comes in at 51.8 in April, from 52.3 in March, revised lower from 52.9
- 3rd fall in a row
- lowest since Sep. of 2012
- longer run average is 54.4
BusinessNZ chief executive Kirk Hope
- ongoing decline in expansion is a concern
- "The proportion of positive comments for April (43.9%) decreased significantly from March (55.8%). The decline was partly due to a number of comments centred on the ANZAC/Easter break disrupting usual business activity. Others noted a general economic downturn and slowing demand"
BNZ Senior Economist Craig Ebert
- "unless there is a sizable bounce in May's PSI, we'll be left with the distinct impression of a slowing services sector".
More:
- Activity/sales (51.1) was at its lowest point since July 2012
- Employment (48.6) dropped to its lowest point since August 2012
- New orders/business (55.1) increasing marginally from 54.9 in March
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While the services sector does not get the same level of attention as the manufacturing PMI, but if you are looking for more RBNZ rate cuts this could well be a consideration. Services is a big part of the economy.
