Australian business activity fell to its lowest since the pandemic in November as tough conditions hit manufacturing and retail. NAB’s survey showed declines in sales, profitability, and employment intentions, while confidence turned negative amid ongoing economic pressures.
Australian business activity slid to its lowest level since the pandemic in November, as confidence worsened amid tough trading conditions in the manufacturing and retail sectors.
The survey from National Australia Bank (NAB) showed its index of business conditions dropped 5 points to +2 in November, its weakest reading since late 2020. The more volatile confidence index sank to -3, more than reversing October's jump to +5. Sales slowed a sharp 8 points to +5 in the month, while profitability fell 6 points to -1, and employment intentions dipped 1 point to +2.
"While we were optimistic last month, it appears the trend of well below-average confidence remains intact," said Alan Oster, chief economist at NAB. "Conditions in the goods sector remain weak," he added. "Interestingly, conditions in the services sectors – recreation & personal services and finance, business & property services – continue to track at a higher rate." Activity fell across all industries, with retail and manufacturing reporting the worst conditions.
The disappointing figures suggest the economy has not picked up after a very soft third quarter, when household consumption struggled in the face of high borrowing costs.
The Reserve Bank of Australia wraps up its December policy meeting later on Tuesday and is widely expected to hold rates at 4.35%, where they have been for the past year. Measures of cost pressures in the NAB survey were mostly steady in November, though retail prices slowed to a quarterly pace of 0.6%, from 1.1% in October.
Growth in input costs ticked up to 1.1%, while labour costs held at 1.4%. The official measure of consumer price inflation had slowed sharply to 2.8% in the September quarter, though much of that was due to temporary government rebates on electricity bills.
BERLIN, Feb 22 (Reuters) - NATO is planning to build a pipeline system from Germany to Poland and the Czech Republic to ensure a rapid supply of jet fuel for fighter aircraft in the event of a war with Russia, weekly German magazine Der Spiegel reported.
Catholic faithful gathered in Vatican City on Saturday (February 22) to pray for Pope Francis as he continues receiving treatment for double pneumonia. Concerns over his health persist, though doctors assure there is no immediate life-threatening risk.
San Francisco, CA, February 17, 2025 – OpenAI announced on Friday that its AI agent, Operator, is now available for ChatGPT Pro subscribers in a broader range of countries, including Australia, Brazil, Canada, India, Japan, Singapore, South Korea, and the United Kingdom, among others.
Peru - the roof of a food court collapsed, killing at least 3 people and injuring 74 others.
Start your day informed with AnewZ Morning Brief: here are the top news stories for February 22nd, covering the latest developments you need to know.
Vatican City, February 17, 2025 – Pope Francis remains in critical condition after suffering a prolonged asthmatic respiratory crisis that required high flows of oxygen, according to a statement from the Vatican.
Cupertino, CA, February 17, 2025 – Apple today released the first developer beta for iOS 18.4, unveiling a new “Priority Notifications” feature powered by Apple Intelligence.
BERLIN, Feb 22 (Reuters) - NATO is planning to build a pipeline system from Germany to Poland and the Czech Republic to ensure a rapid supply of jet fuel for fighter aircraft in the event of a war with Russia, weekly German magazine Der Spiegel reported.
Catholic faithful gathered in Vatican City on Saturday (February 22) to pray for Pope Francis as he continues receiving treatment for double pneumonia. Concerns over his health persist, though doctors assure there is no immediate life-threatening risk.
Menlo Park, CA, February 17, 2025 – Newly unsealed court documents from the case Kadrey v. Meta shed light on internal discussions among Meta employees about the use of copyrighted materials to train the company’s artificial intelligence models.
A tragic crowd crush at New Delhi Railway Station on Saturday night left 18 dead and 10 injured as thousands of people, many heading to the Kumbh Mela festival, attempted to board delayed trains. The incident highlights the ongoing risks of overcrowding at public transportation hubs in India.
A Delta Air Lines regional jet flipped upside down upon landing at Toronto Pearson Airport on Monday, injuring 18 people. Officials are investigating whether strong winds and snow played a role in the incident.
Berlin, February 21, 2025 – German citizens will head to the polls on Sunday, February 23, for a snap general election after the coalition government collapsed late last year.
Washington, D.C., February 17, 2025 – Elon Musk’s Department of Government Efficiency, also known as DOGE, has reduced the staffing of a key team at the National Highway Traffic Safety Administration (NHTSA) responsible for regulating autonomous vehicles, according to The Washington Post.
Russia has resumed wheat exports to Kazakhstan after lifting a ban that was in place until December 31, 2024.
The European Union will seek more gas from countries including the U.S. to replace Russian supplies, and expand renewable energy faster to cut its overall reliance on the fuel, the EU's energy commissioner has said.
BEIJING, Feb 20, 2025 – China is “doing its best” to push for talks with the European Union over tariffs imposed on Chinese-made electric vehicles, a commerce ministry spokesperson said on Thursday.
Berlin, February 20, 2025 – Mercedes-Benz has launched a fresh cost-cutting initiative aimed at reviving sales and margins, as the German carmaker forecasts a significant drop in earnings in 2025.
Vatican City, February 17, 2025 – Pope Francis remains in critical condition after suffering a prolonged asthmatic respiratory crisis that required high flows of oxygen, according to a statement from the Vatican.
Cupertino, CA, February 17, 2025 – Apple today released the first developer beta for iOS 18.4, unveiling a new “Priority Notifications” feature powered by Apple Intelligence.
BERLIN, Feb 22 (Reuters) - NATO is planning to build a pipeline system from Germany to Poland and the Czech Republic to ensure a rapid supply of jet fuel for fighter aircraft in the event of a war with Russia, weekly German magazine Der Spiegel reported.
Catholic faithful gathered in Vatican City on Saturday (February 22) to pray for Pope Francis as he continues receiving treatment for double pneumonia. Concerns over his health persist, though doctors assure there is no immediate life-threatening risk.
Menlo Park, CA, February 17, 2025 – Newly unsealed court documents from the case Kadrey v. Meta shed light on internal discussions among Meta employees about the use of copyrighted materials to train the company’s artificial intelligence models.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment