The services sector in Australia continued to contract in June, and at a slightly faster rate, the latest survey from the Australian Industry Group showed on Tuesday with a seasonally adjusted Performance of Services Index score of 31.5.
That’s down slightly from 31.6 in May and it moves farther beneath the boom-or-bust line of 50 that separates expansion from contraction.
Reduced customer demand continued to drag down most businesses across all services sectors in June. Some respondents reported the instant asset tax write-off had a positive effect on sales as did end of financial year discounting.
Consumer sales have been impacted by uncertainty, tightening income and falling employment. Some business-oriented respondents reported that a lack of work in the pipeline was creating uncertainty about the outlook after current projects had finished.
The material has been provided by InstaForex Company – www.instaforex.com