STORY CONTINUES BELOW THESE SALTWIRE VIDEOSSYDNEY - Australian business investment climbed to its highest since late 2015 in the June quarter as firms took advantage of tax breaks to splurge on new equipment, while plans for future spending were also upgraded in a much-needed boost to the economy.
The construction sector boasted the biggest gains as firms finally received deliveries of machinery and vehicles after lengthy supply-chain delays. Figures for gross domestic product for the June quarter are due next week and analysts are tipping growth of only around 0.3%. That would see the annual pace slow to just 1.8%, the lowest since early 2021 when the economy was emerging from pandemic lockdowns.
Investors also suspect the entire tightening cycle might now be over as futures imply only around a 40% chance of a hike by year end.