What preview of Australian Capex data would be complete without mentioning the ‘mining investment boom’ unwind?
The fall in mining investment is not news, its been ongoing for a good few years now, the question is the replacement of this with non-mining related capital expenditure. This has been weak, weaker than expected, and its a concern going forward. Even RBA governor Glenn Stevens, who is otherwise sanguine on the path for the Australian economy (2015 had the highest employment growth in a decade and low inflation, dual mandate … ‘sorted’) is perturbed by low capex: