Australia: Business sentiment picks up in September
October 11, 2011
The business sentiment index published by the National Australian Bank (NAB) picked up from minus 9 points in August to minus 2 in September. The reading marked a notable change compared to the previous month, when the index experienced the largest drop since December 2009. With the September reading, business confidence moved closer to the 0-point threshold, which separates positive from negative opinion. According to the NAB, the moderating trend of the Australian dollar and prospects of an interest rate cut positively influenced sentiment in September. At a sector level, confidence increased the most in manufacturing, where sentiment rose by 15 points over the previous month. The highest confidence level can still be observed in the mining sector (+16 points), while wholesale trade is at the lowest level (-13 points).
Author: Armando Ciccarelli, Head of Data Solutions