Leading Index Points to Aussie Slowdown

The Westpac-Melbourne Institute leading index of economic activity released today released today points to a slowing Australian economy over the next 6 months thus giving the RBA more reason to stay on hold for the time being. From the report;

The annualised growth rate of the Westpac–Melbourne Institute Leading Index, which indicates the likely pace of economic activity three to nine months into the future, was 2.8% in April. Well below its long term trend of 4%.The annualised growth rate of the Coincident Index was 3.1%, also below its long term trend of 3.8%.