If you’ve been running a services sector business and wondering why your turnover is down despite all the talk of a boom, then today’s Services PMI might help clear things up for you. The Australian services sector has been dipping in and out of recession all year, including in October:
In case you’re wondering whether there is something wrong with the picture and that can’t possibly be true, here’s a longer term view of the index:
As you can see, the recent year is far from typical for the index. It’s part of the economic adjustment that the RBA has sought to manage that is now looking as if it’s been overdone.
Looking at segments for October, most deteriorated:
Good expansion for finance and a touch for property and that”s about it. Full report below.
