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Australia data - Building approvals (January): -7.5% m/m (expected -3.0%)

Australian Building approvals for January

-7.5% m/m,

  • expected -3.0%, prior was 9.2 %

-15.5% y/y,

  • expected -8.5%, prior was -2.5%

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Out at the same time: Australia - BoP Current Account balance for Q4: -21.1bn (expected -20.0bn)

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A round of poor data out of Australia, following the round of poor data last week and yesterday (capex outlook looks weak, inventories and profits weak).

The near unanimous expectation is for the RBA to be on hold today ... but I reckon the chance of a cut just took another leg up. Its still the least likely outcome, and still low probability.

You might recall Glenn Stevens in February of 2015 saying he cut rates because he thought the economy need some help along. I reckon he could say the same again after the past few days weak Q4 data.

RBA due at 0330GMT - my expectation is still on hold.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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