Events that marked the week:
From Australia, on Tuesday, NAB Business Confidence and Home Loans figures were released. Australian business conditions picked up in September as sales and profits rebounded while a marked rise in forward orders pointed to further growth ahead, a survey showed on Tuesday. National Australia Bank's monthly survey of more than 500 firms showed its index of business conditions rose one point to +8 in September, to remain above its long-run average. Its index of business confidence held at +6, after bouncing two points in August. Measures of sales and profits both rebounded in the month, with sales hitting a strong +17, though employment fell back three points to +1. Boding well for the outlook was a hefty six point jump in forward orders to a high +8, while the survey's measure of capital spending also climbed to a strong +8.
On Thursday China's Trade Balance figures were released. China’s trade balance fell unexpectedly last month, official data showed on Thursday. In a report, National Bureau of Statistics of China said that Chinese Trade Balance fell to 41.99B, from 52.05B in the preceding month. Analysts had expected Chinese Trade Balance to rise to 53.00B last month. Exports by China eased 5.6% year-on-year in September in yuan terms while imports rose 2.2% from a year earlier, the General Administration of Customs said in Beijing on Thursday in data that compares to a 5.9% year-on-year gain in exports and a 10.8% jump in imports in August.
There were no data releases from Australia on Friday, but from China CPI and PPI figures were released. Chinese consumer price growth reached a four-month high in September, while producer inflation rose for the first time since 2012, raising optimism that spare capacity in the economy was beginning to ease. The consumer price index (CPI) advanced 1.9% from a year ago, following a 1.3% increase in August, the National Bureau of Statistics reported Friday. A median estimate of economists forecast CPI inflation to improve to 1.6%. Compared to August, consumer inflation climbed 0.7%, following a 0.1% increase the prior month. Economists projected a 0.3% gain over the previous month
A separate gauge of factory-gate prices known as the producer price index (PPI) edged up 0.1% in the 12 months through September. That was the first increase since 2012, ending a stretch of four-and-half years of declining prices. Although Chinese producer prices were in decline for more than four years, the deceleration had eased in recent months. The extent to which factory-gate prices can improve depends largely on the health of the domestic manufacturing sector.
This week markets will be looking at:
Monetary Policy Meeting Minutes (Tuesday 2:30)
China's GDP (Wednesday 4:00)
China's Industrial Production (Wednesday 4:00)