NAB Business Confidence Index bounces to -46 in April, AUD/USD remains heavy
|- NAB Survey still remains in the negative territory.
- Australian budget is up for release later on Tuesday.
- AUD/USD keeps losses below 0.6450 on disappointing data.
National Australia Bank’s (NAB) index of business conditions slumped to -34 points in April vs. -21 last.
The survey’s volatile measure of business confidence bounced to -46 in April vs -66 seen in March. The gauge jumped off the lowest in the history of the series but remains well below the long-run average.
Measures of sales and profits dropped sharply, while employment dived 15 points to -35.
NAB Group Chief Economist Alan Oster said: " Confidence saw a rebound, but this provides little comfort given it remains around twice as weak as the 1990s recession. Business conditions declined further in the month, with a broad-based deterioration across industries.”
“The decline in the employment index is consistent with a significant shedding of employees by respondents. Overall, the survey suggests that the unemployment rate will rise substantially in April,” Oster added.
AUD/USD reaction
Australian dollar keeps losses on the downbeat NAB Business Survey, as AUD/USD meanders near three-day lows of 0.6432 reached in the last hour. The risk-off sentiment dominates amid renewed Australia-China trade tensions.
At the time of writing, AUD/USD trades 0.76% lower at 0.6438, with the bounce having faltered at 0.6450.
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