7/28/2019 June 2013 Pci Report

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JUNE 2013PERFORMANCE OF CONSTRUCTION INDEX

GERMANYCONSTRUCTIONINDEX*

AUSTRAlIAN

pCI

UKCONSTRU

CTIONINDEX*

IRElANDCO

NSTRUCTIONINDEX*

KEY FINDINGS The natina cnstctin indsty cntined t decine in Jne,

athgh the ate cntactin was the swest in mnths.This eected ess pnnced decines in activity, empyment and

deiveies m sppies in ine with an impvement in new desacss mst sects.

The seasnay adjsted Astaian Indsty Gp/ Hsing Indsty

Assciatin Astaian Pemance Cnstctin Index (Australian

PCI) inceased by 4.2 pints t 39.5 in Jne. The index has nwemained bew the citica 50 pints eve (that sepaates expansin

m cntactin) 37 cnsective mnths.

By sect, decines in hse biding, apatments and cmmeciacnstctin activity wee a makedy swe in Jne. Engineeing

cnstctin was the weakest peming sect with activity

cnstained by a paticay steep a in new des. Despite epts an impvement in the ptake new wk in

the mnth, the indsty cntines t ace a tgh envinment with

a nmbe espndents citing the negative inences pjectdeays, tight cedit cnditins, w cnsme cnidence and weake

mining-eated cnstctin wk.

CONSTRUCTION ACTIvITY AND CApACITY In seasnay adjsted tems, the activity sb-index egisteed 41.4

in Jne.

This was 7.3 pints abve Mays eight-mnth w 34.1, indicatinga distincty swe ate cntactin in tta indsty activity.

This est agey eected an impvement in demand cnditins

tside engineeing cnstctin. The ate capacity tiisatin (nt seasnay adjsted) se m

an eight mnth w 65.0% in May 2013 t 68.0%.

ACTIvITY bY SECTOR The apatment cnstctin activity sb-index inceased by a maked

12.6 pints t 47.1 in Jne, the swest pace decine in the 34

mnths since Agst 2010. The decine in hse biding activity as mdeated with the

sb-index ising by a sid 11.9 pints t 42.3. Hweve, this is sti 9.2

pints bew the eve ecded in Febay. The cmmecia cnstctin sect decined at the swest ate s

a in 2013 with a sb-index eading 46.0, a ise 8.5 pints m

the eve the pevis mnth. The pace decine in engineeing cnstctin was the steepest

a sects, athgh the sb-index se 3.2 pints t 37.5 in the

mnth. Weake demand m the esces sect was nted as themain act inhibiting activity.

DOwNTURN IN CONSTRUCTIONINDUSTRYMODERATES

Jun10

Sep10

Dec10

Mar11

Jun11

Sep11

Dec11

Mar12

Jun12

Sep12

Dec12

Mar13

Jun13

25

30

35

40

45

50

55

60

65

DiffusionIndex

Increasing

Decreasing

Australian PCI 3 month moving average

FEB

60

55

50

45

40

35

30

JUN

FEBMAR

60

55

50

45

40

35

30

MAY

FEBMAR

60

55

50

45

40

35

30

MAY

FEBMAR

60

55

50

45

40

35

30

MAY

39.5

50.8

50.6

42.0

MAY

APR

APR

APR

Jun10

Sep10

De

c10

Ma

r11

Jun11

Sep11

De

c11

Ma

r12

Jun12

Sep12

De

c12

Ma

r13

Jun13

20

25

30

35

40

45

50

55

60

65

DiffusionIndex

CapacityUtilisation%(unadjusted)

50

55

60

65

70

75

80

85

Activity Capacity Utilisation

Jun10

Sep10

Dec10

Mar11

Jun11

Sep11

Dec11

Mar12

Jun12

Sep12

Dec12

Mar13

Jun13

20

25

30

35

40

45

50

55

60

65

70

Diffusion

Index

Houses Apartments Commercial Engineering

Increasing

Decreasing

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Sppted by:*Pepaed by Makit Ecnmics

7/28/2019 June 2013 Pci Report

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whAT IS ThEAUSTRAlIAN pCI?

The Astaian Indsty GpPemance CnstctinIndex (Australian PCI) incnjnctin with the HsingIndsty Assciatin is aseasnay adjsted natinacmpsite index based n thedisin indexes activity,des/new bsiness, deiveiesand empyment with vaying

weights. An Australian PCIeading abve 50 pints

indicates cnstctin activityis geneay expanding; bew50, that it is decining. Thedistance m 50 is indicative the stength the expansin decine.

Me inmatin can bebtained m the Ai Gp

website www.aigp.cm.a

CONTACT

Peter Burn

Diect Pbic PicyAi GpTe 02 9466 5503

Harley DaleChie EcnmistHIATe 02 6345 1329

Makit Ecnmics

www.markiteconomics.com

The Australian IndustryGroup, 2013

This pbicatin is cpyight.Apat m any ai deaing the ppses pivate stdy eseach pemitted ndeappicabe cpyight egisatin,n pat may be epdced byany pcess means withtthe pi witten pemissin The Astaian Indsty Gp.

Disclaimer The AstaianIndsty Gp pvidesinmatin sevices t itsmembes and thes, whichincde ecnmic and indstypicy and ecasting sevices.Nne the inmatinpvided hee is epesented impied t be ega, accnting,

fnancia investment adviceand des nt cnstittefnancia pdct advice. TheAstaian Indsty Gpdes nt invite and des ntexpect any pesn t act ey n any statement, pinin,epesentatin inteeenceexpessed impied in thispbicatin. The AstaianIndsty Gp has cmpiedthis inmatin in cnjnctinwith inmatin pvided byHIA. A eades mst makethei wn enqiies andbtain thei wn pessinaadvice in eatin t any isse matte eeed t heein

bee making any fnancia the decisin. The AstaianIndsty Gp accepts nespnsibiity any act missin by any pesn eyingin whe in pat pn thecntents this pbicatin.

*Pepaed by Makit Ecnmics

AIG13177

NEw ORDERS AND DElIvERIES New des (seasnay adjsted) cntacted in Jne the 37th

cnsective mnth. The vea ate decine was nchanged with the new des

index steady at 34.8 in Jne. Hweve, thee wee edced ates decine in new des acss

the hse biding, apatment and cmmecia cnstctin

sects. In cntast, new des in the engineeing cnstctin

sect ecded a mch steepe decine. The swe ate decine in new des acss mst sects ed t

a ess maked edctin in deiveies inpts m sppies. The

sppie deivey index inceased by 7.2 pints in Jne t 43.4.

NEw ORDERS bY SECTOR The cntactin new des in the hse biding sect

mdeated in Jne with the sb-index ising by 7.0 pints in the

mnth t 38.7. This was the highest eading (and theee theswest ate cntactin) in thee mnths.

In apatment cnstctin, the new des sb-index inceased by

11.0 pints t 38.2 signaing a sbstantia ecvey gnd inJne ate a age a (-8.9 pints) in the pevis mnth.

F the cmmecia cnstctin sect, the cntactin in new

des was as swe with the sb-index inceasing by 7.3 pintst 40.7.

In the engineeing cnstctin sect, the new des sb-index

decined by 13.0 pints t 27.5, signaing a the scaing back inthe wad wk pipeine.

EMplOYMENT AND wAGES Empyment cntined t cntact, athgh the ate decine

mdeated the secnd cnsective mnth. The empyment sb-index egisteed 40.3 in Jne, a ise 3.6

pints m May. Insicient wkads and attempts t edce csts wee the main

acts behind the n-ging decine in empyment

Gwth in wages cntined in Jne. Hweve, the ate gwth

was bady nchanged m the pevis mnth with the wagessb-index inceasing by 0.4 pints t 56.3.

NpUT COSTS AND SEllING pRICES Inpt pice inatin emained eevated. Hweve, the ate

incease in inpt csts mdeated with the sb-index decining by

6.8 pints t 66.6. The seing pices sb-index inceased by 7.5 pints t 37.4 in Jne.

Whist this indicates a swe ate incease in seing pices in the

mnth, it ws a a in the sb-index t a ive and a ha-yea weve in May.

These ests ndeine cntined pesses n pit magins

amid sti high cst bdens and an intensey cmpetitive tendepicing envinment.

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Sppted by:

AUSTRAlIAN pCI*June 2013 May 2013 Monthly Change Direction Rate of Change Trend ** (Months)

AUSTRAlIAN pCI 39.5 35.3 +4.2 Cntacting Swe 37

ACTIvITY 41.4 34.1 +7.3 Cntacting Swe 38

HouSES 42.3 30.4 +11.9 Cntacting Swe 4

APArTMENTS 47.1 34.5 +12.6 Cntacting Swe 38

CoMMErCIAl 46.0 37.5 +8.5 Cntacting Swe 36

ENGINEErING 37.5 34.3 +3.2 Cntacting Swe 4

NEw ORDERS 34.8 34.8 0.0 Cntacting unchanged 37

EMplOYMENT 40.3 36.7 +3.6 Cntacting Swe 37

DElIvERIES 43.4 36.2 +7.2 Cntacting Swe 35

NpUT pRICES 66.6 73.4 -6.8 Expanding Swe 94

SEllING pRICES 37.4 29.9 +7.5 Cntacting Swe 32

wAGES 56.3 55.9 +0.4 Expanding Fas te 51

ApACITY(%) 68.0 65.0 +3.0% pints Highe na na

esults are based on the responses of around 150 businesses. Forward seasonal factors were generated by the ABS in April 2013.*Number of months moving in current direction

20

30

40

50

60

70

DiffusionIndex

Increasing

Decreasing

New Orders Deliveries

Jun10

Sep10

Dec10

Mar11

Jun11

Sep11

Dec11

Mar12

Jun12

Sep12

Dec12

Mar13

Jun13

Jun10

Sep10

Dec10

Mar11

Jun11

Sep11

Dec11

Mar12

Jun12

Sep12

Dec12

Mar13

Jun13

10

20

30

40

50

60

70

80

Diffusion

Index

Houses Apartments Commercial Engineering

Increasing

Decreasing

20

30

40

50

60

70

80

DiffusionIndex

Increasing

Decreasing

Jun10

S

ep10

D

ec10

M

ar11

Jun11

S

ep11

D

ec11

M

ar12

Jun12

S

ep12

D

ec12

M

ar13

Jun13

Employment Average Wages

20

30

40

50

60

70

80

90

100

Increasing

Decreasing

Input Pr ices Average Sel ling pr ices

DiffusionIndex

Jun10

Sep10

Dec10

M

ar11

Jun11

Sep11

Dec11

M

ar12

Jun12

Sep12

Dec12

M

ar13

Jun13