Australian Capex Powered by Renewables, Backing RBA Stance

Australian business investment rose more than expected in the final three months of last year, buoyed by a surge in renewable energy projects and suggesting the economy was on a solid footing before the Reserve Bank raised interest rates this month.

Private new capital expenditure advanced 0.4% in the fourth quarter, confounding expectations for a flat result and leaving spending almost 8% higher than a year earlier, Australian Bureau of Statistics data showed Thursday. The figures will feed directly into gross domestic product for the period that’s due next week.