This is one of the big weeks of the year for the Australian economy. The first weeks of March, June, September and December are when the monthly meeting of the Reserve Bank board coincides with the national accounts for the preceding quarter from the Australian Bureau of Statistics (and the start of monthly economic data such as retail sales, building approvals and trade). Looming elections federally and in NSW, however, make this week especially important.
After the shock slowing in September quarter GDP growth to 0.3%, from 0.9% in the June quarter, economists are tipping a further slowing in the December quarter. Subject to revisions in the previous quarters’ data, annual growth in the December quarter could slow from 2.8% to a range of 2.4% to 2.6%, with most quarter-on-quarter estimates around 0.2% (AMP) to 0.4% (ANZ and NAB).