New Zealand Building Activity Value Jumped 1.4% In Q3

(RTTNews) - The value of all building activity in New Zealand climbed a seasonally adjusted 1.4 percent on quarter in the third quarter of 2016, Statistics New Zealand said on Thursday - topping 5 billion for the first time.

The headline figure was shy of forecasts for an increase of 2.1 percent and down from 5.5 percent in the three months prior.

Individually, residential building activity was up 2.4 percent on quarter to NZ$3.3 billion, while non-residential building activity was unchanged at NZ$1.9 billion.

By region, Auckland was up 32 percent, while the rest of North Island, the rest of South Island, and Waikato all were up 27 percent. Wellington jumped 21 percent and Canterbury added 4.3 percent.

The volume of residential building work rose 2.4 percent in the third quarter, following 5.7 and 5.6 percent increases in the previous two quarters.

"Residential building activity was up again in the latest quarter, on top of solid increases in the previous two quarters," business indicators senior manager Neil Kelly said.

The volume trend for residential building work has doubled over the five years since the low point in the September 2011 quarter, the bureau noted.

Also on Thursday, the latest survey from Business NZ showed that the manufacturing sector in New Zealand continued to expand in November, albeit at a slower pace, with a Performance of Manufacturing Index score of 54.4.

That's down from 55.2 in October, although it remains well above the boom-or0-bust line of 50 that separates expansion from contraction.

The November reading also marks a 13-month low for the index as employment was a key drag.