Australia's Q3 GDP: Huge miss on expectations, first contraction in 5 years

Australia's Gross Domestic Product (QoQ) for Q3 came at -0.5% vs 0.3% exp and 0.5% last, while the yearly reading registered 1.8% vs 2.5% exp and 3.3% last. The data was expected to come on the weak side after yesterday's downbeat exports figures seen in Australia. It marks the first QoQ contraction since 2011. 

Q3 KEY POINTS - Australian Bureau of Statistics

GDP SUMMARY

• The Australian economy declined by 0.5% in seasonally adjusted chain volume terms in the September quarter.
• New private capital formation detracted 0.6 percentage points and net exports detracted 0.2 percentage points from growth.
• Household final consumption expenditure grew by 0.4% for the quarter.
• Compensation of employees increased 1.3% to be 3.1% higher through the year.
• The Terms of trade increased by 4.5%.