Australia’s Slowdown Suggests RBA May Need to Do More: Economy

Australia’s economy expanded slower than economists forecast last quarter after households boosted savings, suggesting the central bank may need to do more to spur spending as a mining investment boom wanes. The Aussie fell.

Third-quarter gross domestic product advanced 0.6 percent from the prior three months, when it rose a revised 0.7 percent, government data showed, versus economists’ forecast for a 0.7 percent gain. Growth was 2.3 percent from a year earlier -- the third-straight quarter below 2.5 percent and less than economists’ estimates for a 2.6 percent expansion.