In New South Wales, solid domestic spending has been enough to boost business confidence but there is still a gap left by tourists. Victoria’s momentum is much stronger than NSW’s as it is still in a catch-up phase from the state’s second, extended, lockdown.
Western Australia and the Northern Territory are doing particularly well on their housing indicators but the mining mix in WA is much more in sync with global demand, helping the state’s critical trade component far more than NT.
Tasmania’s labour market has accelerated and the consumer component is likely to improve in the coming months. In contrast, the labour market has deteriorated in the ACT, in line with falling public service employment.
South Australia is on the up with positive net interstate migration and improving household spend. Queensland is also seeing increasing net interstate arrivals, underpinning broadening strength.