New Zealand economy slumps to deeper-than-expected recession
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The news: New Zealand's gross domestic product (GDP) fell 1% in the September quarter, outstripping average estimates.
The numbers: GDP declined 1% during the three months to September, compared to average forecasts of a 0.2% contraction. GDP per capital fell 1.2% during the period, marking the eighth consecutive fall in the series.
Statistics New Zealand also revised its June quarter figures, with GDP shrinking 1.1% compared to the 0.2% drop initially reported.
The New Zealand dollar fell by more than a quarter of a US cent following the release of the new data, buying 56.28 cents by 10:16am AEDT.
The context: During the September quarter, activity declined in 11 of the 16 industries that make up the production measure of New Zealand's GDP, with the largest falls in manufacturing, business services, and construction.
Some industries saw rises, led by rental, hiring, and real estate services, and agriculture. New Zealand's agriculture industry was boosted by dairy farming output and a rise in exports of milk powder, butter and cheese.
