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There’s more evidence that Australia’s mining sector is gathering momentum in NAB’s latest business survey for September.

The September data — released on Tuesday — shows business conditions edged higher while confidence towards the general outlook held steady after falling in August.

Most importantly for ASX small cap investors, the NAB data clearly shows Australia’s mining sector has consolidated its recent gains.

“Confidence (in trend terms) remains highest in mining with most other industries at around the average of national conditions,” said NAB’s chief economist Alan Oster in the report.

“By industry, mining again is reporting the strongest outcomes and confidence.”

That’s been the case throughout 2018, although the mining readings have declined from their May highs.

However, there was a clear pick-up in September for both mining conditions:

And confidence:

NAB also looked at capacity utilisation as one of its key themes for the month.

The measure “reflects both the current demand for a firms output as well as the results of past investment decisions”, NAB said.

 

 

This article first appeared on Business Insider Australia, Australia’s most popular business news website. Read the original article. Follow Business Insider on Facebook or Twitter.