Australian capex data is due today – preview

Coming up from Australia today, Private Captial Expenditure for Q1 (i.e. January – March) 2021.

For the headline, the expected is +1.5% q/q vs. the previous quarter’s +1.1%.

There will also be data on:

• building capex prior 2.2% q/q
• plant and machinery capes prior -0.1% q/q

And we will get updated estimates on capex plans ahead.

What to expect, in brief, via Westpac:

• A modest rise in equipment spending should see private new capital expenditure lift in Q1
• there are, however, downside risks around wet weather conditions and supply headwinds, which should see Estimate 2 for 2022/23 capex plans reflecting a slippage in construction spending

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While we are here, AUD/USD update, you can see the resistance that has developed c irca 0.7120 on the hourly timeframe chart. Support, on the other hand, circa (just above) 0.7000: