Australia - AIG Performance of Construction index for February: 43.9

  • prior was 45.9

KEY FINDINGS from AiG on what is a dreadful result:

  • Slightly steeper rate of decline for the construction industry
  • Fourth consecutive month of contraction
  • Further weakening in new orders
  • Falls in activity, employment and deliveries from suppliers continued in February, albeit at broadly unchanged rates
  • New orders contracted at a steeper rate
  • Weighing heavily on industry conditions in February were sharper falls in mining-related engineering construction and commercial building, reflecting significant contractions in new orders across both these key construction sectors
  • A return to growth in apartment building was the brightest spot in February's overall decline in construction activity. The house building sector remained in negative territory, but its rate of decline moderated, following a loss of momentum in January
  • Reports of fewer new contracts and project completions in 2015, most notably in engineering and commercial construction. A lack of public sector tenders and soft private sector investment were also cited as inhibiting activity in the engineering and commercial construction sectors
  • Reports from house and apartment builders indicated an improvement in customer enquiries and buyer confidence in February. However, respondents also pointed to a highly competitive market environment for housing and slower new orders.

Meanwhile ... AUD doing not much at all