NAB writes "construction work done........>

AUSTRALIA: NAB writes "construction work done poses a downside risk to Q4 GDP,

declining by a larger-than-expected 3.1% in the quarter, with a sizeable fall in

residential construction. Private residential investment fell by 3.7% q/q, which

was the largest fall since 2010, subtracting 0.2pp from GDP. The decline was

larger than the RBA's forecast of a modest 0.9% fall, raising the question of

whether falling building approvals are flowing through to construction sooner

than the RBA had assumed. Private non-residential construction fell at a slower

rate of 0.9% in Q4, while public construction dropped 6.0, although the latter

series is not used to compile GDP.!