The NAB November business survey is out and is still fading:
Confidence hanging in as conditions and profits fade. Labour costs weak, selling prices weak, employment weak, forward orders weak. From Alan Oster:
We are becoming increasingly concerned about the underlying momentum in the economy as evidence mounts that the non-mining economy is losing steam.
The downward trend in business conditions and signs of weakness in the third quarter National Accounts, beyond one-off influences such as poor weather, lend further support to this view.
For now though, we expect to see a fair degree of ‘bounce-back’ next quarter, before the economy resumes its relatively subdued growth track, characterised by muted domestic demand.
Westpac sums it up:
The “bounce back” will be muted and the deeper we get into next year the worse it will get as the dwelling construction boom fades then rolls.
