Australian Markets Weekly – from across the border

In this weekly, we review the week that was, the week ahead, and NAB’s David de Garis gives his reflections on a recent visit to South Australia.

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In this weekly, we review the week that was, the week ahead, and NAB’s David de Garis gives his reflections on a recent visit to South Australia.

  • For markets, focus will be on the Fed and whether it decides to lift interest rates at its meeting this week (NAB expects the Fed to delay until December).
  • Domestically, a light data week gives the chance for some reflection on last week’s positive data, which suggests the non-mining economy continues to improve.

David’s main reflections on South Australia are:

  • Conditions in South Australia remain weak, with a lack of confidence evident, though the financial health of businesses has not deteriorated.
  • South Australia has not experienced the same building boom that has occurred in the eastern states (of NSW, Vic, QLD), and concerns remain over to what extent South Australia will participate in upcoming defence projects (eg. submarines).
  • There were some green shoots – the feared El Nino event is turning out far milder than expected – the lower AUD is providing support to farmers, and should also support the Tourism and Education sectors.

For a full synopsis of the markets this week download:

For further FX, Interest rate and Commodities information visit nab.com.au/nabfinancialmarkets

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