Australia’s Economy: A Bearish Outlook
Facing a double-whammy of a credit-fuelled housing bubble and a slowdown in Chinese economic activity, the outlook for Australia’s economy is turning increasingly precarious. While consensus continues to point towards further monetary tightening by the Reserve Bank of Australia, Business Monitor’s Head of Asia analysis, Stuart Allsopp, believes that further interest rate hikes are unlikely. Indeed, BMI does not rule out a renewed easing cycle by monetary policymakers in the near term.
