Heise Says
#Australia #AusPOL #Recession GDP Per Capita has declined in Australia for the last two quarters, so for all intents and purposes, we are in a recession for the first time in 27 years. Our politicians need to use the R-word before the RBA starts playing with QE or negative interest rate. Perhaps some infrastructure projects […]
#ASX #AusPOL #CashRate Both Equity and Bonds are rallying and analysis split over an impending market correction. Is this just smart investors moving funds into the equities market and hedging their bets or is the bond rally and market confusion a sign of impending recession? References Bonds https://www.asx.com.au/products/bonds.htm Trading View https://www.tradingview.com/chart/?symbol=ASX%3AXAO Share market correction may […]
#ForeignInvestment #AusPOL #Housing Foreign Investment in Australian Real Estate and housing has crashed in recent years. Let’s look at how high it was and consider the implications it has had on housing prices and the quality of our housing stock. Did such rapid growth in foreign investment overheat our construction industry and are we going […]
#RBA #AusPOL #CashRate The Reserve Bank of Australia Board has decided to cut the cash reserve interest rate to a record low 1%. While they hope “it will make further inroads into the spare capacity in the economy”, I cynically believe it will weaken consumer confidence even more. References Statement By Philip Lowe, Governor: Monetary […]
#Stimulus #AusPOL #Housing The West Australian government is hoping that a first home buyers stimulus will help stimulate their declining housing sector. With a short timeframe and a loosening of criteria, it seems like a desperate move, particularly with additional interest rate cuts on the way. References Stimulus starts as Perth house prices fall https://www.news.com.au/national/breaking-news/stimulus-starts-as-perth-house-prices-fall/news-story/c3288798c8540fb16d7f942d0cb56cf7
#RBA #AusPOL #CashRate Ray Dalio is raising concern that a future RBA interest rate cut would damage our property sector. Who should we trust, the RBA or the Billionaire Hedge Fund Manager? Or should we all just buy crypto and metals? References https://www.news.com.au/finance/economy/interest-rates/billionaire-ray-dalio-claims-more-rba-rate-cuts-could-harm-property-market/news-story/eedc369cbe9d7452dbe935da5c37224c
#RBA #AusPOL #CashRate Let’s look at the winners and losers from the recent interest rate cut. References Will you get the rate cut? Big banks announce plans https://www.news.com.au/finance/business/banking/anz-has-refused-demands-from-both-sides-of-politics-to-pass-on-the-reserve-banks-rate-cut/news-story/d028131c16fde5bb61aaa02256fd571c Winners and losers from interest rate cut
#RBA #AusPOL #CashRate Let’s look at Governor Philip Lowe’s Reserve Bank Board Dinner during which he discussed yesterdays extraordinary Interest Rate Cut. Given the amount of unexpected economic factors the board mention, does anyone have confidence in any of their modelling? References Today’s Reduction in the Cash Rate https://www.rba.gov.au/speeches/2019/sp-gov-2019-06-04.html