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Weak Manufacturing Adds To Soft Growth Picture

NEW ZEALAND

Q1 manufacturing volumes fell 2.1% q/q after -4.6% in Q4. Statistics NZ said that the data has been impacted by recent severe weather events but that it is difficult to isolate that from other special factors. Q1 GDP is published on June 15 and the other information we have is the 0.6% q/q increase in building volumes and 1.4% q/q decline in real retail sales.

  • Nominal sales of all businesses rose 5.6% y/y with profits up 2.3%. Wages & salaries were 8.6% higher. 6 of the 14 industries saw a seasonally-adjusted quarterly rise in sales.
  • The volume of manufacturing goods inventories fell 10% y/y.

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