Australian GDP collapses

The ABS has released September quarter national accounts and they are hilariously bad:

SEPTEMBER KEY FIGURE

		Jun Qtr 2016 to Sep Qtr 2016	Sep Qtr 2015 to Sep Qtr 2016
		% change	% change

GDP (Chain volume measure)
	Trend	0.2	2.2
	Seasonally adjusted	-0.5	1.8
Final consumption expenditure (Chain volume measure)
	Trend	0.6	3.0
	Seasonally adjusted	0.3	2.8
Gross fixed capital formation (Chain volume measure)
	Trend	-0.8	-2.4
	Seasonally adjusted	-2.7	-2.5
GDP chain price index
	Original	1.2	1.4
Terms of trade
	Seasonally adjusted	4.5	1.5
Real net national disposable income
	Trend	0.9	3.3

Yes, that is -0.5% and 1.8% versus expected of -0.1% Q/Q and 2.2% Y/Y. Just as well it’s not spread over two quarters or you might call that a recession!

Much more to come.

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About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.