Australia’s NAB Business Confidence Index fell to -13 in September 2026 from a revised -9 in the prior month, its lowest since May and the seventh straight month of negative sentiment. Confidence stayed well below average amid oil price volatility and renewed Middle East tensions, heightening cost concerns. Sentiment weakened in five of eight industries, though mining, wholesale and retail improved. Meanwhile, business conditions were broadly steady, as modest gains in profitability and trading were offset by employment sliding to a five-year low. Purchase costs remained elevated, continuing to outpace final price growth, while capacity utilisation stayed above average in most sectors, underscoring persistent pressures. The survey points to slower Q3 growth and softer labour demand ahead. The mix of weak confidence, high costs, above-average utilisation and subdued profitability highlights risks of further price pass-through and a sharper slowdown in activity into late 2026.