Tomorrow’s Australian newspapers are out and they contain several more reason to be worried about AUD (beside the OIS-implied 92% chance of an RBA cut tonight).
Here is a sampling of the headlines.
Labour productivity in mining sector a ‘disaster’
“Labour productivity in the mining sector is an absolute disaster,” Adrian Hart, senior manager of BIS Shrapnel’s infrastructure and mining unit, said. “While this is partly because construction workforces associated with the investment boom are showing up in the mining-sector statistics, labour productivity in mining operations has simply collapsed over the past decade,” he said.
Miners’ focus to stay on cutting costs, not growth
A report by Eanst & Young’s Mike Elliott says shareholders:
“Have increased the pressure on mining companies to deliver committed projects more efficiently and not spend capital on new projects or investments,” Mr Elliott said.
Housing industry in crisis as first-home buyer lifeblood dries up
First-home buyer demand has collapsed in NSW and Queensland in the past two months, with the nation in danger of changing to a generation of renters, according to Australia’s biggest mortgage broker.
There is also Goldman saying its #1 trade idea in 2013 is short AUD/NOK, something similar to what I wrote last week. Morgan Stanley is also talking about EUR/AUD longs today.
