Monthly Economic Indicators October 2016

The October Monthly Economic Indicators (MEI) was published today on the Treasury website at 2:00pm. The report provides a summary of recent economic events.

The main points:
• A solid lift in business activity and business confidence continues to point to stronger GDP growth in the second half of 2016 than forecast in the Budget Update.
• Demand in the economy is driven by elevated net migration inflows, housing demand and tourism spending. The export price recovery is expected to continue.
• Annual inflation remained weak in the September quarter, owing to low petrol prices and a reduction in vehicle levies. However, inflation is expected to rise from here.
• International data were mixed but generally positive and expectations of US monetary tightening increased.

Read more at: http://www.treasury.govt.nz/economy/mei/oct16

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