Australia's business confidence index fell to 6 in October, down from 7 in September, according to the latest NAB Business Survey. Despite this dip in sentiment, business conditions improved significantly, reaching an 18-month high of 9, driven by stronger sales and profitability. The survey highlighted easing cost pressures and an increase in capacity utilization to 83.4%, indicating tight production capacity. Meanwhile, the Reserve Bank of Australia has kept the cash rate steady at 3.6%, reflecting a cautious stance on rate adjustments as inflation trends downward.