Quarterly construction data compiled and released by the ABS are not considered to be of a “primary” nature in the same way as unemployment (Labour Force) and inflation (CPI) figures. However, the figures are viewed by economists and analysts with interest as they directly feed into quarterly GDP figures.
According to the latest construction figures published by the ABS, the value of construction work increased by a very modest amount in the June quarter after a similar-sized increase in the previous period. Total construction in the June quarter increased by 1.6%, which is more than the 0.8% increase expected but less than the revised +2.4% increase in the March quarter. On an annual basis, the growth rate dropped back from March’s revised figure of +8.1% to -0.1% in the June quarter.
ANZ senior economist Daniel Gradwell viewed the figures with some enthusiasm. “Both the headline result and the details were strong for Q2 (June quarter) construction, while upward revisions to the Q1 (March quarter) result mean momentum has been better than previously thought. Work done in Q2 was up across both the public and private sectors and across most industries and [it] is expected to make a solid contribution to Q2 GDP growth.”