New Zealand Treasury's Monthly Economic Indicators

The New Zealand Treasury out with its latest monthly economic indicators report, citing:

Retail spending picked up in the June quarter and momentum is likely to have continued into the September quarter. There is evidence of some Lions tour effects across the two quarters.

House prices and sales volumes fell in July, driven by weaker Auckland activity. Building consents fell for the second month in a row in July, although they remain high on an annual basis. Capacity pressures appear to be increasing in the construction sector, with input costs increasing at their fastest rate in six years.

The annual merchandise trade deficit narrowed, thanks in part to an atypical July trade surplus and elevated commodity prices.

Producer input and output prices increased by 4.7% and 5.2% in the year to June.  Higher commodity prices influenced a number of industries.  Price increases were modest in the services sector.

Economic growth remains robust in advanced economies, however, inflation and wage growth remain subdued and risks to the outlook remain.