The index was little changed at 43.2 points from 43.3 in July, according to a survey by the Australian Industry Group and Housing Industry Association released in Sydney today. A reading below 50 shows the industry is contracting.
Australia’s central bank will keep borrowing costs unchanged today for a fourth straight month to help cushion the economy against any fallout from slowing global growth, according to a Bloomberg News survey of economists. While demand for houses fell in August at a faster pace, the decline in commercial and engineering construction slowed, today’s report showed.
“The construction sector is yet to bounce back from a distinct decline in performance since May,” said Peter Burn, director of public policy at the Australian Industry Group.
A gauge of engineering work rose 4.1 points to 40.3 in August and commercial work gained 7.6 points to 42.9, today’s report showed. House building fell 0.5 points to 38.4.
