There is a barrage of economic data coming out…
- Retail trade: Retail spending fell by a surprising 0.8 per cent in July after lifting by 1.2 per cent in June. Annual spending growth fell from 5.3 per cent to 3.5 per cent. Sales fell across all eight states and territories. The biggest drop in spending occurred at “Department stores” down 10.2 per cent in July – marking the biggest monthly slide in over seven years.
- Inflation: The TD Securities-Melbourne Institute monthly inflation gauge rose by 0.6 per cent in August after no change in prices over the following three months. Excluding volatile items, the inflation gauge rose 0.2 per cent in August.
- Bad news for job seekers: The number of job advertisements fell for the fifth straight month, dropping by 2.3 per cent in August to stand 9.6 per cent lower for the year.
- Profits slump: Company profits for the third straight quarter, dropping by 0.7 per cent in the June quarter to stand 6.5 per cent lower than a year ago.
- Manufacturing up: The Performance of Manufacturing index rose by 5.0 points to 45.3 in August. Still, it was the sixth month below a reading of 50 points, suggesting contraction in the sector.
- Home prices track sideways: The RP Data – Rismark Home Value Index reported that capital city home prices were flat in August after rising by 0.6 per cent in July. Home prices rose by 1.6 per cent in the past three months but are still down 2.4 per cent on a year ago.
- Fuel prices: According to the Australian Institute of Petroleum, the national average retail petrol price fell from 13-week highs, down by 1.8 cents to 144.0 cents a litre in the past week. CommSec tips prices to fall by 1-2 cents a litre over the coming fortnight.
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