From NAB comes the September Business Survey:
There was a partial recovery in business confidence business confidence business confidence in September as the Government’s leadership uncertainties were resolved, while financial market volatility and emerging market concerns have moderated from the heights of the previous month – although market concerns remain elevated. The business confidence index rose 4 points, to +5, which more than unwound last month’s decline, but is still well below the mid-year peak. Additionally, the improvement in confidence was not broad confidence was not broad confidence was not broad-based across industries, falling in mining, construction and finance.
• Business conditions Business conditions Business conditions held steady at an above average +9 index points in September. By component, employme employment employment is finally improving, turning positive nt and increasing to its highest level since mid-2011. In contrast, both trading conditions and profitabi trading conditions and profitability trading conditions and profitability eased back, alt lity hough they remain at elevated levels. Services sectors continue to outperform Services sectors continue to outperform Services sectors continue to outperform, while mining and manufacturing were the only industries to report negative business conditions in September – although there was a notable deterioration in both retail and finance/ property/ business services. Leading indicators have been Leading indicators have been positive, although forward orders eased slightly in positive the month. Capacity utilisation Capacity utilisation Capacity utilisation has been trending higher, which augurs well for non-mining business investment and the labour market.
