Deposit growth jumps in May

Wednesday, 3 July 2013

APRA is out with its May Banking Statistics and deposit growth took a turn for the better in May, snapping its recent strong down trend. It was 0.7% on the month:

And 7.3% on the year:

The aggregate trend is looking less peaky too:

I’m a bit surprised by this. I thought a falling dollar would hit deposits even if a falling stock market would boost them. Then again, it may be too early to tell. It’s good news, at least in the short term.

About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.