Australia seasonally adjusted capex estimate fell by 0.2% in Dec quarter

Omkar Godbole FXStreet Contributor

The seasonally adjusted trend volume estimate for total new capital expenditure fell 0.2 percent quarter-on-quarter in Q4 2017, according to Australian Bureau of Statistics. The markets were expecting capex growth of 0.9 percent. The big miss in the headline figure isn't boding well for the Aussie dollar.

Meanwhile, the first estimate for 2018/19 is AUD 84 billion vs. Reuters forecast of AUD 86 billion.

December key points (Source: ABS)

Actual Expenditure (Volume terms)

The trend volume estimate for total new capital expenditure rose by 0.8% in the December quarter 2017 while the seasonally adjusted estimate fell by 0.2%.
The trend volume estimate for buildings and structures fell by 0.2% in the December quarter 2017 while the seasonally adjusted estimate fell by 2.1%.
The trend volume estimate for equipment, plant and machinery rose by 2.1% in the December quarter 2017 while the seasonally adjusted estimate rose by 2.2%.

Eexpected Expenditure (Current Price terms)

This issue includes the fifth estimate (Estimate 5) for 2017-18 and the first estimate (Estimate 1) for 2018-19.
Estimate 5 for 2017-18 is $114,599m. This is 2.5% higher than Estimate 5 for 2016-17. Estimate 5 is 4.9% higher than Estimate 4 for 2017-18.
Estimate 1 for 2018-19 is $84,044m. This is 3.5% higher than Estimate 1 for 2017-18.

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

EUR/USD advances above 1.1800 ahead of German inflation data

EUR/USD stretches higher above 1.1800 in the European session on Friday, helped by sustained US Dollar weakness. Attention now turns toward the release of the preliminary inflation data for February from Germany and its major states during the day.

GBP/USD struggles near 1.3500 amid UK political drama, BoE easing bias

GBP/USD struggles to build on the overnight modest bounce from the weekly low and oscillates in a narrow band near 1.3500 in European trading on Friday. The Gorton and Denton by-election, held on February 26, has become a focal point of political drama in the UK, along with the Bank of England (BoE) easing expectations, acts as a headwind for the British Pound and the GBP/USD pair.

Gold flat lines below $5,200; traders look to US PPI for fresh impetus

Gold struggles to capitalize on its modest gains registered over the past two days and trades below the $5,200 mark through the first half of the European session on Friday. Geopolitical risks remain in play amid a large US naval and air power buildup in the Middle East.

Bitcoin, Ethereum and Ripple consolidate with short-term cautious bullish bias

Bitcoin, Ethereum and Ripple are consolidating near key technical areas on Friday, showing mild signs of stabilization after recent volatility. BTC holds above $67,000 despite mild losses so far this week, while ETH hovers around $2,000 after a rejection near its upper consolidation boundary.

Changing the game: International implications of recent tariff developments

The Supreme Court ruling on International Emergency Economic Powers Act (IEEPA) tariffs provides limited relief for the rest of the world, with weighted average tariff rates modestly lower.

Starknet unveils strkBTC, shielded Bitcoin transactions on Ethereum Layer 2

Starknet, the Ethereum Layer 2 network developed by StarkWare, today announced strkBTC, a wrapped Bitcoin asset that introduces optional shielding while preserving full DeFi composability.