Building Material & Const

Weaker retail sales and housing finance numbers for July show the Australian economy is not yet fully in expansion mode.

The market had been expecting a decline of around 3% but Australian construction activity for the June quarter fell just 0.1%.

Wall Street pulled back from its early rally on bank fears to close square. Dow up 3.

Wall Street recovered from Monday’s drop on building and retail news. Dow up 82.

Leighton Holdings largely matched expectations with its profit result but brokers are now evenly split on the company’s prospects.

Strong late-season earnings reports spun Wall Street on a dime last night ahead of the Fed statement. Dow up 120.

In a choppy session a big drop in US personal income was a conspicuous harbinger amidst the euphoria. Dow up 33.

BIS Shrapnel believes building activity levels in the Australian housing market could jump by more than 20% next year.

Australian building approval numbers bounced back from a weak May to record a solid gain in June, while house prices also rose in both the month and the June quarter.

Bond issue fears and mixed results had Wall Street wobbling last night, although resilience won out. Dow up 15.