Gold is off its highs as US markets are relaxed about the US Government shutdown. Australian gold exports drop in August after a safe-haven boost in July. And Australian household spending growth weakens.
In our Deep-Dive interview, ANZ Economist Maddy Dunk looks at what’s driving Australia’s housing market after a bumper September for price growth in the capital cities.
5 things to know in 5 minutes:
Markets meandered overnight with investors relaxed about the US Government shutdown. Gold fell 0.7% from its highs. Meanwhile, Australian household spending lost momentum in August, up only 0.1% in the month. ANZ Economist Aaron Luk says soft goods consumption led the weakness.
Aaron says the Reserve Bank of Australia has been keeping a close eye on consumer spending as it progresses through its rate cut path.
Australia’s trade balance in goods fell $4.8 billion to $1.8 billion in August, its lowest since June 2018. ANZ Economist Sophia Angala says a drop in non-monetary gold exports led the fall.
Sophia says that fall in non-monetary gold exports led a big drop in goods shipped to the US in August.
South Korea’s headline inflation rose to 2.1% in September from 1.7% in August as telecom fee cuts ended and food prices rose. ANZ Economist Krystal Tan says inflation is set to stay near the Bank of Korea’s 2% target.
Cheers,
Bernard.
PS: Catch you next week with analysis of whatever data comes out of the US economy during the US Government shutdown.
