Australian leading index remains subdued: ‘Slow motion’ recovery continues to underwhelm

Forex Short News

The six-month annualised growth rate in the Westpac-Melbourne Institute Leading Index, which indicates the likely pace of economic activity relative to trend three to nine months into the future, ticked up to 0.12% in July from 0.01% in June.

Notes from analysts at WPAC:

  • Leading Index growth rate ticks up to 0.12% in July.
  • ‘Slow motion’ recovery continues to underwhelm.
  • Main headwind coming from commodity price falls and higher AUD.
  • Softer tone from labour market but other components lacking direction.

AUD/USD is little changed circa 0.6494.

This article was written by Eamonn Sheridan at investinglive.com.