Building permits in Australia fell in July for the second time in three months, with the main trend to show sharp fluctuations in construction activity. Building permits fell by 1.7% to 18.299, while expectations were supposed to down by 5.4%. In June, permits rose to highest level in nearly a year of 11.7%. On an annualized basis, building permits declined by 13.9%.
Building permits are closely monitored by investors as they reflect future residential building plans and use monthly reports to identify investments and basic housing demand. The hottest housing sectors saw a bit of divergence this month as Sydney's housing market is likely to stabilize or possibly fall in August, while the Melbourne market may continue to rise.