WA’s booming resource sector undermined by global uncertainty: CME
Mon, 16 July 2012
Western Australia continues to benefit from the resources and energy sectors, however global uncertainty has translated to falling business confidence, according to the June 2012 edition of the WA Resources and Economics Report, prepared by the Chamber of Minerals and Energy of Western Australia (CME) in conjunction with KPMG.
Key findings in the report include:
The March quarter is relatively quieter for mineral and petroleum exploration owing to seasonal factors amongst others and as a result, recorded a 23 per cent drop from the previous quarter to $A883 million;
Total market capitalisation of WA resource companies at end May 2012 was $A92.8 billion, a decrease of 21 per cent from end of February 2012 reflecting renewed market concern about the Greek debt crisis and possible China slowdown; and,
Australia’s terms of trade continued to decline, falling 4.3 per cent partially caused by a weakening in the price of exports due to slowing demand.
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