A solid result for ABS Retail Trade in October, with the state level data revealing the impact of the so-termed wealth effect of rising house prices in Sydney,...

A solid result for ABS Retail Trade in October, with the state level data revealing the impact of the so-termed wealth effect of rising house prices in Sydney, and to a lesser extent Melbourne. NSW retail trade continues to shoot the lights out with another big result in October to be +9.8% y/y, while VIC is also solid at +6% y/y (both states +2% q/q). Interestingly both South Australia (+4.8% y/y) and Tasmania (+4.0% y/y) which have not experienced real rises in dwelling prices (but equally have not suffered the full drag of the unwinding of the mining construction boom) are beginning to enjoy stimulatory interest rates and record sold results too. The mining states are far more sluggish as mining construction fades. We also take a brief look at industry group and subgroup standouts. (VIEW LINK)