FX.co ★ Australia’s Business Inventories Slide Eases Sharply in Q4, Hinting at Stabilizing Stock Levels

Australia’s business inventories showed a marked easing in their decline in the fourth quarter of 2025, signaling a possible stabilization in company stock levels after a steeper drop earlier in the period. According to the latest data updated on 2 March 2026, business inventories fell by 0.1% Month-over-Month in Q4 2025, compared with a 0.8% Month-over-Month contraction previously in the same quarter.

The Month-over-Month comparison indicates that while firms continued to run down inventories, the pace of reduction slowed notably. The previous reading reflected a comparison of one month in the fourth quarter to the month before it, showing a sharper drawdown; the latest figure compares the subsequent month’s inventories to the prior month and suggests businesses may be moving closer to a more balanced stock position as the quarter progressed.