Data Disappoints, Leaving RBA Forecasts in Focus

• Australian household spending came in softer than expected in September, rising just 0.2% (vs 0.4% consensus) with August revised flat. The data shows a clear slowdown in momentum since mid-year.
• Dwelling prices lifted 1.1% in September to be 6.1% higher over the year, marking the strongest annual gain since mid-2023.
• Approvals rebounded 12% in September, led by a 26% surge in units, recouping some of the weakness from prior months.
• ANZ-Indeed Job ads slipped 2.2% in October after a 3.5% drop in September, marking six declines in the past seven months and signalling slower hiring momentum.
• The RBA meets today with its rate decision and Statement on Monetary Policy due this afternoon at 2:30pm. Updated forecasts are the key focus, with markets watching closely for any shift in tone at the Governor’s 3:30pm press conference.