An article from the ever-excellent James Glynn of the Wall Street Journal from last week says the RBA deserves ‘much of the credit’ for the signs of the tentative recovery in the Australian economy.
- Several recent indicators are spurring hope that the Australian economic slowdown is ending
- AIG manufacturing PMI expanded for the first time in more than two years in September
- House prices rising
- Retail sales beating expectations
- Business and consumer confidence higher following the election results
- Glynn says “Though the evidence of recovery is still tentative, odds are rising that Australia’s record of 22 years without recession is set to extend through another growth cycle.”
- Says the RBA was well ahead of the curve when it began cutting rates
More here, with some contrary views on the precariousness and sustainability of the signs of recovery.
The AUD has been reflecting the signs of a tentative turnaround, it might have 99 problems, but a bid ain’t one.
