Australia's Q3 GDP: Huge miss on expectations, first contraction in 5 years

Ivan Delgado Independent Analyst

Australia's Gross Domestic Product (QoQ) for Q3 came at -0.5% vs 0.3% exp and 0.5% last, while the yearly reading registered 1.8% vs 2.5% exp and 3.3% last. The data was expected to come on the weak side after yesterday's downbeat exports figures seen in Australia. It marks the first QoQ contraction since 2011.

Q3 KEY POINTS - Australian Bureau of Statistics

GDP SUMMARY

The Australian economy declined by 0.5% in seasonally adjusted chain volume terms in the September quarter.
New private capital formation detracted 0.6 percentage points and net exports detracted 0.2 percentage points from growth.
Household final consumption expenditure grew by 0.4% for the quarter.
Compensation of employees increased 1.3% to be 3.1% higher through the year.
The Terms of trade increased by 4.5%.

Author

Ivan Delgado

Independent Analyst

Established in the Asian continent since 2009, Ivan studied a degree in Business at the University Pompeu Fabra (Barcelona), while also earning a postgraduate degree in Business Administration.

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