Later this morning the National Australia Bank will release its January business survey, a closely watched release that measures business sentiment, operating conditions and the outlook for employment.
- The NAB survey is based on the responses of around 400 firms across Australia’s non-farm business sectors, and is generally conducted in the last week of each month.
- In December the headline confidence index fell 2 points to +3.
- The separate conditions index slid 3 points to +7, still above the surveys long-run average of +5.
- Measures on trading and profitability – despite small declines – remained elevated compared to their historic norms while the surveys forward orders gauge – a lead indicator on future levels of demand – rose by 2 points to +4.
- The employment gauge, seen as a reliable lead indicator for future hiring intentions by many market participants, fell to 0 from +2 in November.
- Continuing the theme seen over the second half of 2015, operating conditions across services firms remained elevated, although there was a noticeable weakening in those industries exposed to the residential property market.
- The January report will be watched closely as it will capture the impact on sentiment and operating conditions, if any, from recent ructions across financial markets.
The report will be released at 11.30am AEDT.
Business Insider will have full analysis as soon as the data drops.
Business Insider Emails & Alerts
Site highlights each day to your inbox.