NAB write "a stronger-than-expected.......>

AUSTRALIA: NAB write "a stronger-than-expected headline Q4 Private Capital

Expenditure (Capex) masks weakness in Equipment investment (0.7% q/q), the

component that is used in the calculation of GDP. For Q4 GDP, the slight 0.7%

q/q increase in Equipment Plant & Machinery capex means virtually no

contribution from this component to GDP. NAB was hoping for another strong

quarter of Equipment investment to support private investment following

yesterday's disappointing Construction Work Done figures; these data taken

together suggest that private investment growth was likely

weaker-than-anticipated in Q4 and suggests downside risk to our 0.4% q/q (2.6%

y/y) forecast for GDP. Firms' first estimate for 2019/20 capital expenditure was

11% higher than their first estimate for 2018/19, at $92.1b. A positive sign,

although these early estimates can be revised significantly."