November 30, 2022 06:09 GMT
MNI BRIEF: Aussie Building Approvals Feel Sting of RBA Hikes
MNI (PERTH)
(MNI) Perth
True
More evidence the Reserve Bank of Australia's cumulative 275bp of hikes is hurting housing sentiment was seen in October's 6% m/m decline in building approvals, according to Australian Bureau of Statistics data released Wednesday.
It was the second month of declines following September's 8.1% fall, with house approvals down 2.4% m/m and unit approvals down 11.3% m/m. Total building approvals are down 6.4% y/y. More weakness in expected, though the tight rental market is expected to provide some support to activity.
Meanwhile, construction work done rose 2.2% q/q in the third quarter, supported by engineering construction. Residential activity rose 1.3%, a weak rebound from a 5.7% decline in the June quarter.
Keep reading...Show less
111 words