Australia’s economic growth slows, reducing chance of another interest rate rise next year

The ABS’s national accounts provide a broad view of the state of the economy ahead of the Albanese government’s mid-year economic fiscal outlook expected to be released by treasurer Jim Chalmers in about a week’s time. Photograph: Diego Fedele/AAP

Australia’s economy surprisingly slowed in the September quarter, as the toll of higher interest rates hit consumers and trade turned negative.

Gross domestic product expanded 0.2% in the September quarter compared with the previous three months, marking an eighth consecutive quarter of growth, the Australian Bureau of Statistics said on Wednesday. Economists had forecast GDP growth would quicken to 0.5% from 0.4% in the June quarter.