The economy’s rotation and the tourist dollar

•  RBA watching international developments closely; far from panicking about the current state and momentum in the domestic economy with signs of the economy’s emerging rotation

• RBA pleased with the overall improvement in Australia’s labour market, even making due allowance for the volatile monthly labour force survey

• In this note, we examine how the tourist industry is participating in the economy’s rotation

• Australia’s international tourism balance is improving thanks to surging visitor arrivals, benefitting especially from the step-up in the outbound Chinese visitor market

• Signs are also emerging that Australians are tilting their holidaying somewhat towards domestic destinations, evident in airport traffic and regional SEEK job advertising trends

• Week ahead: Thursday labour force likely on statistical grounds to spring another positive surprise. China returns after the Chinese-New Year period, the US has a swathe of data and Fed speakers, while European leaders will be meeting later this week to discuss Brexit and the refugee crisis

For full analysis, download report:

• Australian Markets Weekly: 15 February 2016(PDF, 1.94MB)

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