GDP Forecast to Be Weak Despite Current Account Narrowing in December Quarter: CCIQ
Australia’s current account narrowed in the December quarter according to the latest data released by the Australian Bureau of Statistics.
The Chamber of Commerce and Industry Queensland (CCIQ) notes that the current account showed that government spending remains elevated and that despite stronger trade data it will not be enough to arrest what is expected to be a weaker economic print for tomorrow’s national accounts.
CCIQ Head of Industry, Dan Petrie said the latest data highlights that the terms of trade whilst boosting government revenues effectively mask the challenges currently faced in the private sector.
“Private sector expenditure in Queensland remains weak with households and businesses curbing their overall spending.
“While headline trade date sounds positive, overall volumes of goods were down which is likely to drag on the GDP data when it is released tomorrow,” Mr Petrie said.