ECONOMIC COMMENTARY

Australians remain positive about their lives today but fear the future.

Business conditions strong and businesses have their say on tax.

Based on responses from the March 2018 Quarterly Business Survey.

Overall sentiment (measured by NAB’s Commercial Property Index) rose 4 points to +21 in Q1.

The NAB Cashless Retail Sales Index grew 1.2% on a month on month basis in March – slower than January or February.

Can China maintain its stable growth profile as trade tensions increase?

Australian dwelling values held firm in March, with the combined capitals continuing a softening trend, recording a 0.2% fall, while regional markets saw a 0.4% rise in values over the month.

The NAB Rural Commodities Index gained 3.0% month on month in March, its second consecutive rise.

After a somewhat disappointing 2017 we continue to expect growth to gain more momentum during 2018 – with GDP increasing by around 3% through the year or 2.8% in year average terms.

First shots fired in the US-China trade war.

Still see growth momentum improving.

Business conditions come off the boil, but still hot.