Alan Oster
Alan Oster
bank boom both conditions continuing domestic inflation mining outlook reserve strong watching
The story is one of continuing boom conditions in mining and very strong nonresidential construction activity. The Reserve Bank is still very much on hold, watching both the inflation outlook and domestic demand.
economic growth points quarter survey
In summary, the survey points to a significant pick-up in economic growth in the first quarter of 2006.
bank cause inflation outlook reserve short term
The near-term inflation outlook will cause the Reserve Bank some short term concern,
continue led
Oil-sensitive sectors continue to weaken, led down by retailing, wholesaling and transport,
bring cash increased official percent rate
Overall, we still see the official cash rate being increased by around 1.25 percent in total, bring the rate back to around 5.5 percent by mid/early 2003.
australian benefit capacity dollar export growth increased lower offset partly partner sustained trading volumes
On the other hand, export volumes benefit from increased capacity and a lower Australian dollar partly offset by some moderation, but sustained trading partner growth during 2006-2007.
business ongoing sector strength
The deterioration in agribusiness contrasts starkly with the ongoing strength in the non-farm business sector as a whole.
continued costs doubt few higher impact oil prices reflecting
On transport, it is one of the few sectors that has continued to deteriorate through the quarter, no doubt reflecting the impact of higher oil prices on costs and profitability.
australian conditions continues december driven economy improved performing point reasonably reinforce report results trading
While the Australian economy continues to report sub-trend growth, the December results reinforce the point that it is still performing reasonably well. Conditions improved in December, driven by stronger-than-expected trading and profitability.
direction either engage main message might monetary moving occasional policy prospect
While the RBA might engage in occasional bouts of jawboning, we see little prospect of the RBA moving in either direction for some considerable period. That, indeed, was the main message out of yesterday's monetary policy statement.
activity bank both continuing demand domestic economic inflation next outlook pace reserve watching
The pace of economic activity is continuing to moderate. The Reserve Bank is very much on hold, watching both the inflation outlook and domestic demand over the remainder of 2005 and well into next year.