Weekly Updates

In Australia, wage price inflation held steady both in quarterly and annual terms, in line with market expectations. The S&P Global composite PMI suggested faster expansion in November, while the Westpac leading index pointed to above-average growth ahead. The RBA Monetary Policy Board minutes brought no major surprises, confirming that no rate adjustments were discussed at the meeting.

In Australia, October saw a solid labour force survey report. NAB business conditions improved a bit in October, while business confidence edged down. This was followed by the strongest bounce in Westpac consumer sentiment since 2020 in November. New home loans saw the strongest rise in over four years in Q3.

In Australia, the RBA has kept the cash rate on hold, while revising inflation forecasts upwards and signalling there might be a case for no more rate cuts in this cycle.

In Australia, it was an eventful week on financial markets, highlighted by the upside surprise to Q3 CPI inflation that saw an evaporation of expectations for a cash rate cut next week.

In Australia, the flash estimate of the S&P Global Composite PMI for October indicated a slightly faster pace of expansion compared to the previous month.

In Australia, the unemployment rate rose more than expected in September, as unemployment rose more than employment. NAB business conditions remained above the longer-run average in September, while business confidence rebounded from its fall from the previous month.