NAB business conditions index hits record high in April

The National Bank of Australia (NAB) business conditions index increased by 6 points to record high of +21 index points in April, the data released a few minutes ago showed. The business confidence index also increased by 2pts to +10 index points and remains well above its historical average of 6 index points.

Key quotes from NAB Group Chief Economist Alan Oster (Source: NAB)

"The record high in the business conditions index in the April Survey simply reinforces what has been evident since the middle of last year, that business activity in Australia is robust"

“Of some concern is that retail conditions turned negative for the first time this year”

 “The survey continues to point to subdued inflation and wages growth”

"Our current call is for the first move by the RBA to be late this year, but as hard evidence of a firming in wages growth is yet to appear in the data, and unemployment for the moment stuck at around 5.5%, the risk is that any action by the RBA will be delayed into 2019"