Aussie Slump, After The Release Of Index Construction AIG

Aussie Slump, After The Release Of Index Construction AIG, Construction Index Data from December 2017 which was announced by the Australian Industry Group (AIG) this morning showed a significant decline. The decline makes Aussie slump about 0.27% of the open market yesterday (8/January) in the middle of the Asian session.

Aussie Plummets

Considered a good start For 2018

The value of Performance of Construction Index (PCI) in December dropped by 4.7points to 52.8, from 57.5 in November. This decline will signify slowed industrial growth at the end of the year 2017. However, the results are still above 50, indicates the overall industry growth occurs. This growth is also still followed both AIG's other economic indicators which AIG Manufacturing Index was at 56.2 points and AIG Services Index was at 52.0 points.

Peter Burn, as Head of Policy from AIG says, "Australia's construction Sector continued to rise in December by rising employment and a variety of other sectors. Look to2017 overall, despite a decrease in the slow development of apartments, other development activities running throughout the year. And with the continued positive value from a variety of industries, this can be a good start to welcome a 2018 ".

Graphics PCI value of AIG since the year 2006

PCI Graphics Australia

Reported by the official website of AIG, here are some important points to be observed in the results of the PCI this December:

Of the four sub-sectors on PCI, construction engineering (down 7.2 points to 56.9) and construction (down 6.8 points to 54.5) remains one of the strongest contributors;Although the rate of growth of both the activity dropped sharply, after experiencinga rise in November.

The growth rate in commercial construction also slowed down (down 8.3 points to 51.5), while the construction of the apartment shows growth of 3.0 points to 50.7.

Input Prices rose by 3.9 points to 82.7, and the value of the wages increased by 2.1points to 64.4. While the selling price slump of 1.3 points to 58.6. This indicates that the pressure at the cost of still continues, but not too mean, given the high degree of competition in the market.

Until news is written, the AUD/USD has typically been 0.7843, has dropped 0.27% ofthe open market price today. Keep in mind this decline may also have an impact onthe data releases NFP day last Friday. That will probably happen again because the domestic boost from Australia this week was on Thursday, January 11, 2018, because the Australian Bureau of Statistics (ABS) will release the total change in retail sales.