Australia Building Approvals Actual 3.5%, Expected 2.6%, Previous 7.8%
Release Explanation: This report indicates the number of domestic building permits granted for the month. Strong growth in new approvals and permits indicates a growing housing market. “Because real estate generally leads economic developments - housing tends to thrive at the start of booms and wane at the onset of recession. The figure can be used with others to forecast future growth in the economy as a whole”, TheLFB-Forex.com Trade Team said.
Trade Desk Thoughts: The building approvals from Australia rose a seasonally adjusted 3.5 percent, month over month, in March. The trend estimate for total dwellings approved rose 0.4 percent in March 2009, the first rise seen since November 2007. Private sector homes rose 0.3 percent and other dwellings rose 0.7 percent.
Forex Technical Reaction: There has been very little reaction from the aussie since the release due to the fact the RBA will be announcing its interest rate decision in a few hours. The pair is currently unchanged from the Asian open.