ECONOMIC INDICATORS – AUSTRALIA

Rise in inflation puts squeeze on households

roymorgansocial Leave a comment

Original article by Jacob Greber
The Australian Financial Review – Page: 8 : 27-Apr-17

Financial markets believe there is little chance of an official interest rate cut in May 2017, following the release of CPI data for the March quarter. The headline inflation rate was 2.1 per cent year-on-year during the quarter, compared with 1.5 per cent previously. The inflation rate is now within the Reserve Bank’s target range of 2-3 per cent for the first time since late 2014. An increase in gas prices contributed to the rise in the inflation rate, which is now outpacing wages growth.

CORPORATES
RESERVE BANK OF AUSTRALIA, AUSTRALIAN BUREAU OF STATISTICS, STANDARD AND POOR’S ASX 200 INDEX, UNITED STATES. EXECUTIVE OFFICE OF THE PRESIDENT, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB

ANZ-Roy Morgan Australian Consumer Confidence declines for the second week in a row – down 1.4pts to 111.2

roymorgansocial Leave a comment

Original article by Roy Morgan Research
Market Research Update – Page: Online : 27-Apr-17

Headline ANZ-Roy Morgan Australian Consumer Confidence fell 1.24% to 111.2 in the week ended 23 April 2017, below its long run average. Households’ views towards their current finances fell 1.2%, while views about future finances fell 0.6%. Households’ expectations for economic conditions next year fell 5.3% taking the index to its lowest level since February 2016. Expectations for economic conditions over the next five years rose by 0.2%, but are still close to the lowest level for 2017.

CORPORATES
ROY MORGAN RESEARCH LIMITED, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ

Inflation will decide the rate debate

roymorgansocial Leave a comment

Original article by Philip Baker
The Australian Financial Review – Page: 30 : 26-Apr-17

Investors will be awaiting the release of Australia’s CPI data for the March 2017 quarter, which may influence the timing of any change to monetary policy. The headline inflation rate is widely tipped to have risen by 2.2 per cent year-on-year, which would be the first time that inflation has been within the Reserve Bank’s target range of 2-3 per cent since the September 2014 quarter. However, the underlying inflation rate for the year to March is expected to be around 1.8 per cent.

CORPORATES
RESERVE BANK OF AUSTRALIA, UNITED STATES. FEDERAL RESERVE BOARD, UNITED STATES. EXECUTIVE OFFICE OF THE PRESIDENT, WOOLWORTHS LIMITED – ASX WOW

ANZ-Roy Morgan Australian Consumer Confidence declining again – down 2.2pts to 112.6

roymorgansocial Leave a comment

Original article by Roy Morgan Research
Market Research Update – Page: Online : 20-Apr-17

Headline ANZ-Roy Morgan Australian Consumer Confidence fell 1.9% to 112.6 in the week ended 16 April 2017, partly reversing the previous week’s gain. This dragged the index back down below its long run average. The performance of the sub-indices was largely negative, with only one of the five sub-indices recording a rise. Households’ expectations for economic conditions over the next year fell 1.9%, while expectations for economic conditions over the next five years dropped a sharp 4.1%, to be at its lowest level since September 2015. Households’ views towards their current finances fell a modest 0.7%, while views about future finances improved 2.7%, to the highest level since February.

CORPORATES
ROY MORGAN RESEARCH LIMITED, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ

Wealthiest 3pc of earners pay 30pc of tax

roymorgansocial Leave a comment

Original article by Joanna Mather
The Australian Financial Review – Page: 2 : 19-Apr-17

Data from the Australian Taxation Office shows that the Federal Government collected $A177bn in income tax revenue in 2014-15. People in the highest tax bracket contributed $A53bn to government coffers, which equates to 30 per cent of the income tax take. People in this tax bracket account for just three per cent of taxpayers. The Government also reaped $A69.3bn in income tax from people in the second-highest tax bracket in 2014-15, which equates to 39.1 per cent of total tax revenue.

CORPORATES
AUSTRALIAN TAXATION OFFICE, THE CENTRE FOR INDEPENDENT STUDIES LIMITED, UNIVERSITY OF NEW SOUTH WALES

IMF outlook perks up for jobs, inflation

roymorgansocial Leave a comment

Original article by Jacob Greber
The Australian Financial Review – Page: 3 : 19-Apr-17

The International Monetary Fund has forecast global economic growth of 3.5 per cent in 2017 and 3.6 per cent in 2018. The latest World Economic Outlook report also forecasts that Australia’s economic growth rate will rise to 3.4 per cent year-on-year by the December 2017 quarter, while the economy is forecast to grow by three per cent in 2018. Meanwhile, the IMF expects the nation’s unemployment rate to fall to 5.1 per cent in 2018. The IMF’s outlook for Australia is much more bullish than the most recent forecasts issued by the Treasury.

CORPORATES
INTERNATIONAL MONETARY FUND, AUSTRALIA. DEPT OF THE TREASURY, RESERVE BANK OF AUSTRALIA, JP MORGAN AUSTRALIA LIMITED

Business Confidence up in March; but low confidence sees Barnett Government thrown out

roymorgansocial Leave a comment

Original article by Roy Morgan Research
Market Research Update – Page: Online : 12-Apr-17

Roy Morgan Research’s Business Confidence rose 2.4% to 113.8 in March 2017. The rise in Business Confidence coincided with the All Ordinaries Index gaining 142.8pts (+2.5%) to 5,903.8. However, the continuing low Western Australian Business Confidence contributed to the election loss for former premier Colin Barnett. WA has consistently had the lowest Business Confidence of any State since the end of the mining boom in mid-2015. A record high 43.3% (up 3.4ppts) of businesses say they are "better off financially" than a year ago while just 28.6% (down 2.2ppts) say they are "worse off", a net positive gain of 5.6ppts. In addition, 50.1% (up 4.4ppts) of businesses expect "good times" for the Australian economy over the next 12 months, while 46.1% (down 0.8ppts), expect "bad times" – a net positive gain of 5.2ppts. Meanwhile, 50% (up 0.8ppts) expect "good times" for the economy over the next five years, while 41.8% (unchanged) expect bad times.

CORPORATES
ROY MORGAN RESEARCH LIMITED, STANDARD AND POOR’S ASX ALL ORDINARIES INDEX

ANZ-Roy Morgan Australian Consumer Confidence recovers after stumble – up 3.7pts to 114.8

roymorgansocial Leave a comment

Original article by Roy Morgan Research
Market Research Update – Page: Online : 12-Apr-17

Headline ANZ-Roy Morgan Australian Consumer Confidence rose 3.3% to 114.8 in the week ended 9 April 2017, more than reversing the previous week’s fall. The four-week average climbed 0.4ppt to 112.9 to be in line with the long-term trend. Increases were observed across the board, with households’ views towards their current finances registering a gain of 5.2% to 107.0, the highest since February. Views about future finances improved by 1.4% to 123.9. Expectations for economic conditions for next year increased by 3.5% on a weekly basis, while expectations for economic conditions in the next five years increased by 2.6%.

CORPORATES
ROY MORGAN RESEARCH LIMITED, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ

ANZ-Roy Morgan Australian Consumer Confidence trend decline resumes, down 2.7pts to 111.1

roymorgansocial Leave a comment

Original article by Roy Morgan Research
Market Research Update – Page: Online : 5-Apr-17

ANZ-Roy Morgan Australian Consumer Confidence fell 2.4% to 111.1 in the week ended 2 April 2017, its lowest value since October 2015. The four-week average now stands at 112.5, falling below its long-term average for the first time since February 2016. The fall in confidence was broad based, with four out of the five sub-indices recording declines. Expectations for economic conditions for next year fell sharply, with the index falling by 5.4% to the lowest this year. Households’ views towards their current finances fell by 2.8%, while the future finances index was down 2.1%.

CORPORATES
ROY MORGAN RESEARCH LIMITED, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ

Living standards leap as Asia trade deals deliver

roymorgansocial Leave a comment

Original article by Simon Benson
The Australian – Page: 1 & 2 : 3-Apr-17

Data from the Department of Foreign Affairs & Trade highlights the economic benefits of Australia’s free trade agreements with Japan, South Korea and China. There has been a 140 per cent increase in goods exported to these countries since 2014. Wine, sugar, grapes and beef are among the products that have enjoyed strong growth in exports under the FTAs. Trade Minister Steve Ciobo notes that exports contributed to a five per cent increase in real disposable income during the December 2016 quarter.

CORPORATES
AUSTRALIA. DEPT OF FOREIGN AFFAIRS AND TRADE, AUSTRALIAN LABOR PARTY, AUSTRALIA. OFFICE OF THE CHIEF ECONOMIST, AUSTRALIA. DEPT OF THE TREASURY