Treasury releases September economic indicators
The September Monthly Economic Indicators (MEI) was published on the Treasury Website at 2pm.
Growth in the June quarter was higher than forecast in the Pre-election Economic and Fiscal Update with strong non-residential investment contributing to the strength in domestic demand. The strength in domestic demand, coupled with subdued export performance, resulted in a widening of the current account deficit. August trade data points to a further increase in the current account deficit. In addition inflation is increasing. We still predict that the imbalances will gradually unwind in a fairly benign manner. However, if imbalances materially increase, the possibility of the economy taking a more disruptive adjustment path increases.
Read more at http://www.treasury.govt.nz/mei/default.asp