Australia Business Conditions Good AUD / USD Climb

Australia Business Conditions Good AUD / USD Climb
Measures to Australia's business conditions for the month of June showed an increase to the highest level since early 2008. Boosting sales and profits across a range of industries is a signal that the Australian economy is beginning to rise after the downturn at the start of the year. National Australia Bank (NAB) 400 companies to compile a Business Condition Index. As a result, there was a four-point increase to +15 in June. Meanwhile, survey results measuring Business Confidence increased by one point to +9.

"Most of the industry performed well in the survey, reflecting a broader economic environment," said NAB Chief Economist Alan Oster. "The increase in conditions (business) is largely driven by the strengthening conditions of trade and profitability, which indicates demand for more, while employment conditions appear stable."

The results of this exciting survey are in line with increased economic activity, following the bad weather that hit Australia in the first quarter, causing growth to stall only in the range of 0.3 percent.

Stable Growth If RBA Interest Rate Fixed 1.5 Percent
The Central Bank of Australia (RBA) argued that economic growth would come back to life if interest rates were maintained at the 1.5 percent level, they said in the latest policy meeting last week.

Surveys that measured sales jumped as much as 6 points to a very strong level in June, ie +21. Meanwhile, corporate earnings rose five points to +15. The NAB said that the outcome is consistent with the creation of annual employment that is in the range of 240,000 or about 20,000 jobs per month.

In response to the NAB Business Confidence report, the Australian Dollar appeared calmly shortly after the report was released. AUD / USD is trading in the range of 0.7608. However, when this news was released, AUD / USD has shown a slight rise to trade at 0.7616.