9 Jan 2014
Flash: RBA watching closely today's Aus data - Westpac
FXstreet.com (Bali) - In Australia, the RBA will be keeping an eye on the two data releases for today, likely to be watching for signs of further response to low interest rates, notes Sean Callow, FX Strategist at Westpac.
Key Quotes
"Nov retail sales and building approvals. After an acceleration in previously depressed turnover in Aug-Oct, we look for a muted 0.3% m/m gain in retail sales, just under consensus of 0.4%. Retailer anecdotes suggest a softening in Nov sales growth, while consumer sentiment has pulled back somewhat."
"Building approvals have been extremely volatile over the past year though the largest moves have been rises, with approvals up 23% y/y in Oct. We look for a -4% m/m fall in Nov, mostly a statistical adjustment given that Oct was reported at a mere -1.8% after Sep’s 16.9% surge. Despite consensus of -1%, we believe risks are for a larger fall, even if it wouldn’t change our view on housing construction in 2014, which is fairly positive."
Key Quotes
"Nov retail sales and building approvals. After an acceleration in previously depressed turnover in Aug-Oct, we look for a muted 0.3% m/m gain in retail sales, just under consensus of 0.4%. Retailer anecdotes suggest a softening in Nov sales growth, while consumer sentiment has pulled back somewhat."
"Building approvals have been extremely volatile over the past year though the largest moves have been rises, with approvals up 23% y/y in Oct. We look for a -4% m/m fall in Nov, mostly a statistical adjustment given that Oct was reported at a mere -1.8% after Sep’s 16.9% surge. Despite consensus of -1%, we believe risks are for a larger fall, even if it wouldn’t change our view on housing construction in 2014, which is fairly positive."