New Zealand Building Approvals for June is coming up at 2245GMT

  • prior +7.1% m/m

Preview via ASB:

  • Consent issuance was been surprisingly strong over recent months, suggesting any election-related uncertainty, which may have been holding back Auckland house-building demand, has now passed.
  • Robust building consent issuance suggests some upside to our residential construction forecasts, but a key concern is that capacity constraints in the construction sector may hold back activity growth, despite strong demand.
  • Due to the usual monthly volatility in building consents data, June consents are likely to be weak following a number of strong months.
  • Meanwhile, non-residential construction consent issuance has also remained strong over recent months, despite the recent falls in commercial construction confidence. We expect to see some moderation in commercial consent demand over the second half of 2018.

Note the pint ASB make about the monthly volatility oi this data point. Its a good one. The swings in this data point keep its FX impact limited, although big swings will have a short-term effect (to the downside will see some NZD weakness and vice versa).

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Big day coming up ladies and gentlemen: