European Oil & Gas Stocks Face 2026 With Cautious Outlook Amid Valuation Pressure 
Dollar Slides to Five-Week Low as Asian Stocks Struggle and Markets Bet on Fed Rate Cut 
BOJ Faces Pressure for Clarity, but Neutral Rate Estimates Likely to Stay Vague 
Asia’s IPO Market Set for Strong Growth as China and India Drive Investor Diversification 
U.S. Futures Steady as Rate-Cut Bets Rise on Soft Labor Data 
Europe Confronts Rising Competitive Pressure as China Accelerates Export-Led Growth 
Gold Prices Edge Higher as Markets Await Key U.S. PCE Inflation Data 
IMF Deputy Dan Katz Visits China as Key Economic Review Nears 
Asian Currencies Steady as Rupee Hits Record Low Amid Fed Rate Cut Bets 
Asian Currencies Edge Higher as Markets Look to Fed Rate Cut; Rupee Steadies Near Record Lows 
Spain’s Industrial Output Records Steady Growth in October Amid Revised September Figures 
Australia’s construction work done fell for a fourth consecutive quarter in Q2. The contraction in residential activity accelerated, non-residential building activity dropped across both private and public sectors, and the weakness in engineering construction persisted, with only a small uptick in public sector work done, according to the latest report from ANZ Research.
Construction activity in Australia fell 3.8 percent q/q in Q2 2019 to be down 11.1 percent y/y. This was the fourth (and largest) quarterly contraction in a row. The decline in residential construction worsened to -5.1 percent q/q, dragging the annual result down to -9.6 percent. Non-residential building saw an even larger fall of 6.6 percent q/q and engineering construction rounded off the trifecta, down 1.1 percent q/q.
After two quarters of disappointing results, public engineering construction eked out a 0.9 percent gain in Q2. However, it remains 16.1 percent down from the peak a year ago despite the solid pipeline of infrastructure projects. Public non-residential building dropped a further 4.9 percent q/q, following the 2.9 percent fall in Q1.
New building (-5.3 percent) and alterations and additions (-3.3 percent) combined to drag down private residential activity to its lowest level since late 2015. Private engineering construction has not yet bottomed out, falling 2.5 percent q/q, while private non-residential building lost all of the gains from Q1 and then some, down 7.3 percent q/q.
Western Australia (+1.4 percent q/q) was the only state to see a rise in construction, driven by a 2.1 percent q/q increase in engineering construction along with smaller improvements in residential and non-residential building. Queensland (-6.0 percent) recorded the largest decline in construction activity followed by South Australia (-4.8 percent), Victoria (-4.4 percent), Tasmania (-4.1 percent) and New South Wales (-1.9 percent).
"The sharper-than-expected fall in construction activity during the quarter will undermine GDP growth in Q2 2019 and puts downside risk on our pick," the report further commented.
