12.11.201902:44:00UTC+00Australia Business Confidence Rises In October

Australia's business confidence as well as conditions improved slightly in October but remained below average, survey data from National Australia Bank showed Tuesday.

The business confidence index rose two points to +2 in October.

Likewise, the business conditions index edged up one point to +3. The improvement in conditions was driven by an uptick in trading and profitability with the employment index flat.

"Overall, our assessment is that while the forward-looking indicators were slightly more positive in the month, we expect more of the same regarding the run of below-average reads for conditions," Alan Oster, NAB group chief economist, said.

"We will be closely watching the forward-looking indicators for a sustained pick-up which could translate to a more material improvement in conditions," Oster added.

The business sector has lost significant momentum over the past year or so, putting at risk the optimism around business investment and possibly employment going forward, Oster said.