With the Reserve Bank of Australia holding interest rates steady at 1.5% yesterday, the Aussie dollar fell back below 76 cents.
Australia is officially not in a recession! As of Wednesday this week, stronger economic growth numbers than expected reveal that our 25 year streak without a recession hasn’t been broken.
Aussie miners, BHP Billiton Ltd [ASX:BHP] and Rio Tinto Ltd [ASX:RIO] both took a heavy beating today, as commodity prices fell following gains in the USD.
If the Aussie dollar continues to march higher and economic growth falls, the RBA won’t have any other choice. The best outcome here, believe it or not, will be to cut rates.
This week in Money Morning, your editors look at both sides of the Aussie economy. Good news continues to roll in for the big Aussie resource stocks. But where can the really big gains be found?
Watch out criminals! The Aussie government is coming for you. Your criminal ‘cash economy’ is over, kaput, finite. The jig is up.
In today’s video update Kris looks at the last Australian GDP number from the ABS and assesses the impact this has had on the stock and bond markets…
When it comes to converting currency, I try to avoid the banks at every point I can. Fortunately, in today’s world we can use peer-to-peer currency exchanges to beat the banks.
Lower petrol prices have taken out some of the pressure for higher wage demands, as the lower cost is a straight cash benefit to motorists.
A cut today will see a short term fall in the Aussie Dollar, but it’s likely it will trade higher once again when the ‘effect’ of the rate cut has worn off.