Australia: Lowest annual housing finance result since 2009 – ANZ

ANZ analysts point out that the value of Australian housing finance fell by 2.4% m/m in May, after a revised flat result in April.

Key Quotes

“Annual growth dropped to 20.9% y/y, which is the lowest in the past ten years.”

“Owner occupier finance fell by 2.7% m/m, leading to a y/y contraction of 18.0%. This is the lowest annual result for owner occupiers since 2010. However, the election in May and string of public holidays in April may have weighed on this result.”

“Given the dramatic shift in sentiment since then we would expect to see a lift in credit growth in the next few months.”

“Weakness in investor demand (-1.7% m/m, 27.8% y/y) was less gloomy, representing only a small tick down compared with April.”

“The y/y result is still up on the recent trough of -29.2% y/y seen in February.”

Articles You May Like

US Dollar Ahead: EUR/USD Eyes FOMC & ECB Minutes, USD/CAD to CPI
Moody’s: Global economy will remain fragile in 2020 as risks to credit conditions rise
China’s head trade negotiator Liu “cautiously optimistic” about reaching a trade deal
NZD/USD looks for clear direction near 2-week high, US-China headlines on the radar
Moody’s: Reduced Australian growth forecast to 2.2% for 2020

Leave a Reply

Your email address will not be published. Required fields are marked *