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Australia's Leading Index Inches Up in May, Remains Weak

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The six-month annualized growth rate in the Westpac-Melbourne Institute Leading Index inched up slightly to negative 0.17% in May from negative 0.18% in April, but remains weak, Westpac said in a report on Tuesday.

The index indicates the expected pace of economic activity compared with trend levels three to nine months into the future.

The Australian economy is experiencing a noticeable loss of momentum, as indicated by the March quarter national accounts showing a softening in activity, apart from increased investment in data centers.

The May index suggests that the subdued growth will likely persist into the latter half of the year and into early 2027.

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