Donald Trump outside the White House in Washington DC yesterday. Picture: Bloomberg US President Donald Trump’s views on trade can’t be reconciled with the way economists treat trade. The two sides are so divided that it is hard to even have a discussion: Trump talks constantly about ... Read more
Archives for June 2018
Putting the global “debt bomb” in perspective – seven reasons to be alert but not alarmed — Dr Shane Oliver, Chief Economist for AMP Capital
Key Points Global debt levels have reached new records. Countries with very high gross debt to GDP include Japan, Belgium, Canada, Portugal and Greece. The main areas of rising debt since the Global Financial Crisis (GFC) have been public debt in developed countries (with more to come in the ... Read more
Housing crash unlikely, based on real debt levels —by Don Stammer, Columnist for The Australian
Total interest payments on mortgages are close to their long-term trends Predictions abound that Australian house prices will collapse, causing a banking crisis and economy-wide recession. And it’s mainly because of the mountain of household debt. Of course, forecasts of an impending ... Read more
RBA Monetary Policy Decision and Statement by Philip Lowe, Governor —5 June 2018
Media ReleaseStatement by Philip Lowe, Governor: Monetary Policy Decision Number 2018-14 Date 5 June 2018 At its meeting today, the Board decided to leave the cash rate unchanged at 1.50 per cent. The global economy has strengthened over the past year. A number of advanced economies are ... Read more
Economic Insights from PIMCO Advisory Board
The first half of 2018 has shaped up to be a fairly volatile year with regards to equity markets. We have had a correction in both Australian and Global Equity markets in February/March only to then post a recovery in April/May. We have and continue to remain cautious with regards to our outlook ... Read more
Why You Should Pick Up the Pace When You Walk
Slow walkers may have new reason to speed up their stroll. A study published in the British Journal of Sports Medicine finds that fast walkers — and even average-speed walkers — are considerably less likely to die early than those who walk slowly. Compared to slowpokes, fast and average-speed ... Read more
China’s economy is pretty stable – but what about high debt levels and other risks? — By Dr Shane Oliver, Chief Economist for AMP Capital
Key points Chinese economic growth has been stable since 2016 at around 6.8%. Expect Chinese growth this year of around 6.5% and inflation of 2.5-3%. Key risks regarding China relate to the policy focus shifting to reducing leverage and reform, rapid debt growth, a trade war with the US and ... Read more
Upsize your retirement with downsizer contributions
Legislation has passed that will enable people aged 65 or over to make additional super contributions of up to $300,000 per person from the proceeds of the sale of their home from 1 July 2018. These are known as ‘downsizer contributions’ and they can be made on top of the existing contribution caps, ... Read more
5 fascinating cultures around the world
There are many reasons why traveling is addictive. It hurls you out of your comfort zone and gives you a sweet taste of freedom. It pushes you to your limits and expands your perspective. It allows you to get in touch with yourself and teaches you how to appreciate life. But the most addictive and ... Read more
Want to renovate the smart way? Avoid these four mistakes
Never renovated a property before? Here are four mistakes to avoid when it’s home improvement time. Mistake 1: Not doing enough research Don’t start work without knowing the details. You need to research building materials and tradespeople, and understand the legal and regulatory aspects of a ... Read more