Australia CAPEX: -0.5% vs +0.5% expected *AUD/USD lower)

• Australia’s Q2 actual CAPEX data has arrived, AUD/USD lower on the release.
• ANZ business confidence arrived at the same time - more to come.

Australia’s Q2 actual CAPEX and an updated survey of business investment intentions for 2019/20 have been released. Markets were split on where to be looking, some looking for continued disappointments, with the ranges between -0.3% and +0.5%.

"Total (inflation-adjusted) CAPEX has been roughly flat over the past 3 years, with mining investment tapering lower but non-mining investment picking up," analysts at Westpac explained 

The data arrived as follows: 

• -0.5% vs +0.5% expected (previos -1.7%)

About the Private Capital Expenditure

The Private Capital Expenditure released by the Australian Bureau of Statistics measures current and future capital expenditure intentions of the private sector. It is considered as an indicator for inflationary pressures. A high reading is seen as positive (or bullish) for the AUD, while a low reading is seen as negative (or bearish).