Australia’s December credit likely to rise moderately

Australia's November credit rose 0.4 percent posting modest gains as compared to previous four months, (0.6%, 0.6%, 0.8% and a 0.7%). Further, December credit is expected to rise by 0.5 percent. The business segment is seen as the key driver for the monthly fluctuations in total credit, although July to October business credit on an average grew by 0.9 percent per month, with inflated valuations as an effect of falling dollar.  

November Housing credit increased by 0.64 percent and 7.5 percent for the year. As the new lending to investors is been delayed, the growing momentum is likely to slow down in near term.

"We anticipate a moderate rise in December, more in keeping with new lending" - Westpac