NZIER Quarterly Survey of Business Opinion (QSBO) is well regarded in New Zealand as an economic indicator.
Shows a further drop in business confidence in Q3
- net 35 percent of businesses expect a worsening in general economic conditions
- down from net 34 expecting a weakening in Q2 (ie -35 down from -34)
- weakest since March 2009
More:
Decline in firms' own trading activity
- net 11 percent of businesses reporting demand fell over the quarter
- weakest since September 2010
The full report is only available to NZIER subscribers. Those are the 'highlights' above. More commentary from NZIER:
- result suggests annual GDP growth will ease below 1 percent later this year
- Manufacturing sector remains the most pessimistic
- continued weakening in both domestic and export demand
- continued uncertainty over the trade war between the US and China
- signs construction demand is slowing
- Profitability in the retail sector is at the weakest level since September 2009
- The combination of intense cost pressures and weak pricing power continues to weigh on profitability across most sectors. This is making firms more cautious when it comes to hiring and investing.
- A net 10 percent of firms cut staff numbers - the weakest level in this hiring measure since September 2012.
