Australian Construction Sector Downturn Deepens In Nov
The Australian Industry Group-Housing Industry Association Performance of Construction Index fell 4.4 points to 32.0, remaining below the key 50 points level which separates expansion from contraction.
The deeper slowdown in construction will make it harder for the Australian economy to escape contraction in the fourth quarter, having grown by just 0.1% in the third quarter from the second.
"There has been a further deterioration in house and apartment construction as tight credit conditions and deteriorating economic sentiment continued to hit demand for building projects," Australian Industry Group Associate Director Economics and Research Tony Pensabene said.
"Activity in engineering and commercial construction also weakened in November, while new orders for the industry as a whole are now at their lowest level in the 38 months since the survey began," he added.
"This indicates that the current weakness in activity is likely to continue during the months ahead," Pensabene said.
-By James Glynn; Dow Jones Newswires; 612-8235-2955; james.glynn@dowjones.com (END) Dow Jones Newswires
December 04, 2008 17:52 ET (22:52 GMT)
Publié le 04 Décembre 2008 Copyright © 2008 Dowjones
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