For September
Provided by: Reserve Bank of Australia

Commodity Index m/m: 0.5%, pr. 2.0% (rev from 1.0% - Aug), 3.6% (Jul),
7.9% (Jun), 6.1% (May), 9.4% (Apr)

For September (s.a.)
Provided by: Australian Industry Group (AIG)
Official Release: PDF (Save Link As...)

Services sector activity contracted for a sixth successive month in September, although the rate of decline eased for the first time since May.

From the Release:
■ "Firms pointed to instability in global financial markets and Australia's soft building sector as factors restricting services activity.
■ The seasonally adjusted Australian Industry Group/Commonwealth Bank Performance of Services Index (Australian PSI®) rose 5.6 points to 44.9, but remained below the key 50.0 level separating expansion from contraction.
■ Activity grew in the transport & storage and personal & recreational services sectors, but continued to fall in the other seven services sectors.
■ Lower petrol prices and a reduction in the official interest rate at the beginning of the month contributed to the softer contraction in services activity.
■ Activity fell in all states, although the rate of contraction only worsened in Queensland."

Provided by: Reserve Bank of Australia
Official Release: Statement

The RBA slashed its benchmark interest rate by a full 1 percent at the conclusion of its meeting. It was the biggest cut since 1992. The move can be a precursor for moves by other central banks as they try and get a handle on the widening credit crisis. Asian stocks, especially in Australia, rebounded on the news. The RBA is trying to bring down borrowing cost as its economy has already stalled, and now financial turmoil has increased the likelihood of a more pronounced downturn. 

From the Release: "The recent deterioration in prospects for global growth, together with much more difficult market conditions even for creditworthy borrowers, now present the risk that demand and output could be significantly weaker than earlier expected. Should that occur, inflation would most likely fall faster than earlier forecast.

Given that background, the Board judged that a material change to the balance of risks surrounding the outlook had occurred, requiring a significantly less restrictive stance of monetary policy. The Board also took careful note of movements in funding costs in wholesale markets. Having weighed these considerations, the Board decided that, on this occasion, an unusually large movement in the cash rate was appropriate in order to bring about a significant reduction in costs to borrowers. The Board does not, however, regard that movement as establishing a pattern for future decisions."

After an initial fall in a knee-jerk reaction to the news, the Aussie gained against the greenback and Yen.  

For August
Provided by: Australian Bureau of Statistics (ABS)

The number of home loans approved in Australia fell by 2.2% to 48,903 in August - a seven year low. The number of approvals is down 27% since January, when it reached 67,126. Demand for home loans is down as the economy heads lower, there is an increase in unemployment in sectors not associated with exports, and interest rates were still high. Weak demand supports the decision by the Reserve Bank of Australia to cut rates by a full 1% in Monday's meeting, as the bank tries to ease borrowing costs during the most recent and most severe bout of credit crisis. The rate reduction caused Australia's four largest banks to cut their standard variable home loan rates by 80 basis points. 

The RBA followed up its bold interest rate cut by expanding its market operations by allowing banks and other financial institutions to deposit residential mortgage-backed securities and asset-backed commercial paper in exchange for collateral. This move should try and help unfreeze credit markets in the country. Credit provided by banks and financial institutions rose a meager 0.4% in August, the smallest increase in 22 years.   

For September - Seasonally Adjusted
Provided by: Australian Bureau of Statistics
Current Release: HTML

Unemp. Rate (s.a.): 4.3%, forecast 4.3%, pr. 4.1% (Aug), 4.3% (Jul)

In September, Australia added 2,200 workers to the labor force, now numbering 10.737 million. However, the previous month's increase was revised down. Full time and part time employment contributed similar shares of the increase for the month. The seasonally adjusted unemployment rate rose 0.2% to 4.3%. The participation rate remained at 65.1%. The Australian labor market continues to be strong, with job increase every month this year except for May. However September saw the second worse employment figures this year, behind that in May. With a global slowdown likely reducing demand for commodities and Australian export, the labor market is expected to weaken going forward.