Australia's business inventories declined by 0.4 percent quarter-on-quarter in the three months to September 2019, following an upwardly revised 1 percent fall in the previous period and compared to market expectations of a 0.2 percent decrease. Inventories dropped further at manufacturers (-0.7 percent vs -0.5 percent in Q2); and retailers (-1.8 percent vs -1.1 percent); and fell at electricity, gas, water & waste services providers (-5.3 percent vs 7.5 percent). Meanwhile, inventories rebounded in mining (1.3 percent vs -0.9 percent); wholesale traders (0.1 percent vs -1 percent); and accommodation & food services (3.3 percent vs -2.8 percent). Through the year to the third quarter, business inventories fell by 0.7 percent. Business Inventories in Australia averaged 0.51 percent from 1985 until 2019, reaching an all time high of 2.80 percent in the first quarter of 1999 and a record low of -2.80 percent in the third quarter of 1986. source: Australian Bureau of Statistics
Business Inventories in Australia is expected to be 0.50 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Business Inventories in Australia to stand at 0.30 in 12 months time. In the long-term, the Australia Business Inventories is projected to trend around 0.40 percent in 2020, according to our econometric models.