ANZ's proxy measure for New Zealand economic growth, the Truckometer is a measure of traffic flows
The 'heavy' traffic index comes in at -4.2% m/m
- previous +2.9%, revised from +1.1%
- For the y/y result, comes in at +6.3%
'Light' traffic index -1.7% m/m
- prior +1.3%
- y/y is above 6% still
- ANZ comments on the light index, saying it is giving a mildly softer signal on growth in mid-2018
More from ANZ on the results - remark from their 'key points':
- Despite the December fall, the indexes are providing a positive signal for GDP growth in Q4, due to earlier strength. However, the Light Traffic Index is giving a mildly softer signal for growth in mid-2018.
More - and not a bad summary of what to watch in the year ahead for NZ:
- Political uncertainty,
- a cooling housing market,
- tighter credit availability
- and transitioning growth drivers
could cause a growth hiccup in the near term, but the still-strong upward trend in the Light Traffic index (despite the small dip) suggests this economy still has plenty of momentum.
--
ps. For those who have been waiting, Mike is back from holidays and keen to get back to truckin'!