The latest Business Expectations survey shows a confident attitude from the business sector moving into 2020, sparking hopes the new year will be a stronger one for the economy.
The June quarter 2019 Business Expectations Survey shows a slowing economy reflected in a downturn in expectations and results across most areas featured in the survey. The expectations index was down 13.2 per cent, pointing to economic weakness carrying through to the middle of 2019.
Business confidence has faltered over the September quarter, with the latest survey showing a general decline across forecasts for sales, profit and selling prices. The retail sector was particularly hard hit, while construction and services also saw some declines.
The latest Business Expectations index is consistent with the slow, sub-trend economic growth expected over the remainder of 2019. The latest quarterly increase appears to be seasonal, given that expectations for all components are lower compared
with the December quarter last year.
Business confidence for the March quarter 2019 has fallen, with the Business Expectations Index down 7.1 per cent annually. The headline index saw significant declines in the sales, profit and investment sub-indices on both a quarterly and annual basis.
The September quarter 2019 Business Expectations Survey has revealed faltering confidence across the board, with businesses expressing a pessimistic view on the upcoming quarter while reporting poor results from the March 2019 quarter. In particular, the Actuals index has fallen to its lowest point since March 2017.
Business confidence has improved over the December quarter 2018, with the survey showing small increases in both expected and actual results. The retail sector delivered a seasonal rebound in its outlook for December, following a bout of pessimism.