Australia NAB business confidence dropped another 2 pts to 7 in March, down from 9. Business conditions dropped 6 pts from February’s record high at 20 to 14. That’s 3 points lower than January’s 17.
Nonetheless, NAB noted in the release that “conditions remain well above average, with reasonably broad based strength across industries although retail continues to lag.” The historical average is at 5.5 and unchanged in trend terms.
“Business confidence eased again and is now only just above its long-term average, although leading indicators remain at solid levels, as is the employment index.” “The survey was conducted shortly after US President Trump’s announcement of tariffs on at least $50 billion of Chinese imports, which may have affected sentiment.”
Regarding inflation, “final product price inflation remains muted and retail prices declined. However, purchase cost growth has been moving higher since late 2016 providing a tentative sign of inflationary pressure.”
On wages, “labour cost (wage bill) growth moderated after rising the previous month.”
France and and Turkey reported to boost bilateral investment and trade ties
Reuters reported that Turkish President Tayyip Erdogan and French President Emmanuel Macron spoke by phone today. And they talked about developing economic and trade ties and boosting bilateral investment. Macron also told Erdogan that stability in Turkey is important to France. Finance Ministers of the two countries will meet very soon.
Turkish Finance Minister Berat Albayrak held a conference call with thousands of investors and economists. There he tried to assured that the government fully understood and recognized all its domestic challenges. And he insisted that the country’s bank were healthy and strong. And, the country would emerge stronger from the currency crisis. Albayrak is Erdogan’s son-in-law.