Writing here yesterday morning, we said, “Q3 capex numbers are going to have to be pretty robust if the prevailing negative sentiment around the AUD is to be reversed”. That negative sentiment saw AUD/USD trade down to 0.7556 early in the North American session. Overnight, the data on capital expenditures came in pretty much in line with expectations at 1.0% q/q with the annual rate up 2.3%. Looking ahead, the fourth estimate for total capex spend in the 2017/18 financial year rose to $108.bn, higher than the forecast revision of $105.4bn. Among the five sectors the ABS tracks in the capex report, mining had the smallest increase in expected investment from June, reporting a 0.5% increase. The outlook for spending on buildings and structures rose by 3.7% from the June estimate, while forecast spending on equipment, plants and machinery had a strong 8.7% increase. Elsewhere, the outlook for 2017/18 manufacturing spending rose by 6.7% while forecast capex across other selected industries climbed by 8.3%. Overall, these numbers were pretty solid and confirm the RBA’s view in the November Minutes that it saw a pick-up in non-mining investment. Good as they were, however, the capex figures haven’t given the Aussie Dollar much of a boost. AUD/USD jumped 20 pips on the news but at no stage overnight has it been able to regain a US 76 cents handle. It opens this morning at USD0.7565 with AUD/CAD at 0.9750.