March quarter GDP data from Australia, a bit of a recap now the dust has settled
Seasonally adjusted GDP growth of 1.1% q/q (+0.8% expected, +0.7% prior) and 3.1 % y/y (expected 2.8%, prior 2.9%)
- Exports contributed +1%. This is the dividend from all that mining infrastructure investement, the 'production phase' now kicking in. If the terms of trade improve 9i.e. commodity prices improve) ... this will improve even more
- Household final consumption expenditure added 0.5% ... this is being helped by low unemployment and jobs growth ... more workie, more spendie ... yeah?
A cloud over today's otherwise great result is the terms of trade fall another 1.9% on the quarter (down 11.5% on the year)
- This has impacted on real net national disposable income, which was up 0.2% q/q but down 1.3% over the past year (what this means is lower purchasing power for households)
