Economy rolling over
Job ads fell -11,200 in July, led by a decline of -6,200 in Victoria, according to the National Skills Commission.
The decline comes off the back of 6 consecutive monthly increases.
The economy has clearly hit a turning point, with insolvencies soaring +46 per cent year-on-year according to CreditorWatch, and Roy Morgan Research already reporting a climb in their unemployment rate figure to 8.5 per cent.
A whole slew of data from the US points to declines in business price plans, declines in the Adobe online digital price index, and so on...suggesting that although inflation is painfully high now, eventually we'll be sliding merrily down the other side.
Back in Australia, household consumption is set to crater, according to CBA, with consumer sentiment now as low as we saw in the depths of the global financial crisis:
Source: CBA
It feels like Australia's slowdown is tracking a bit behind the US, though, with power price and rent hikes still to flow through, and capacity still stretched.
Still, by next month the Reserve Bank will have delivered ~225 basis points of tightening since April...it'll surely soon be time to hold the nerves, take a pause, and let those hikes do their thing (while supply chains right themselves over time)!
---
US inflation figures out tonight...to say these will be closely watched is an understatement!
