2020.06.0302:16:00UTC+00Australia Q1 GDP Contracts 0.3% On Quarter

Australia's gross domestic product dropped a seasonally adjusted 0.3 percent on quarter in the first three months of 2020, the Australian Bureau of Statistics said on Wednesday.

That was in line with expectations following the 0.5 percent quarterly gain in the three months prior.

On a yearly basis, GDP expanded 1.4 percent - again matching expectations and slowing from 2.2 percent in the previous quarter.

The GDP deflator was up 1.1 percent on quarter after sinking 1.2 percent in the three months prior, while capital spending fell 0.8 percent after sliding 1.0 percent in the previous three months.

GDP final consumption was down 0.4 percent on quarter following the 0.5 percent gain in Q4.

The terms of trade rose 2.9 percent, while the household saving ratio increased to 5.5 percent from 3.5 percent.

Also on Wednesday, the ABS said that the total number of building permits issued in Australia was down a seasonally adjusted 1.8 percent on month in April, coming in at 15,294. That beat expectations for a plunge of 15.0 percent following the 4.0 percent drop in March.

On a yearly basis, building permits were up 5.7 percent.

Permits issued for private sector houses rose 2.7 percent on month and 4.9 percent on year to 8,912, while permits issued for private sector dwellings excluding houses fell 8.9 on month but rose 4.0 percent on year to 6,079.

The seasonally adjusted estimate of the value of total building approved fell 2.5 percent in April. The value of residential building rose 4.4 percent, while the value of non-residential building tumbled 11.9 percent.