Australian housing – is it a bubble? What’s the risk?

From

Key points Australian housing is not in a bubble but it is very overvalued, and combined with high debt levels leaves Australian households vulnerable should anything significantly threaten house prices.

continue reading

AMP Bank increases standard variable rate

From

AMP Bank is increasing its standard variable home loan interest rate for new and existing customers by 38 basis points to 7.82 per cent following the Reserve Bank of Australia’s

continue reading

Healthy wage growth to boost consumer activity

From

Labour Price Index Wages lift driven by the minimum wage increase. Wages rose by 1.1 per cent in the September quarter. In annual terms wages are up 3.5 per cent

continue reading

RBA highlights pressure on bank funding

From

RBA Board minutes At the last Reserve Bank board meeting members took some time to consider bank funding costs. Members explicitly stated that there was a possibility that banks would

continue reading

Credit card balances edge higher

From

Credit/debit cards Credit card balances rose in September. The average credit card balance stood at a $3,261.60 in September, up $7.90 on August. The average credit card balance is up

continue reading

Confidence falls to five month low on rate hike

From

Housing finance; Consumer sentiment As expected, the Westpac/Melbourne Institute index of consumer confidence fell in the latest month in response to the latest interest rate hike. The index fell by

continue reading

Weekly market & economic update: 5 November 2010

From

Headline developments of the past week The contrast in global central banks was stark over the past week with those in weak countries such as the US, Japan and Europe

continue reading

Investor Signposts: Week Beginning November 7 2010

From

The big picture In the past there have been a host of factors cited by the Reserve Bank to justify lifting interest rates. So what about the most recent lift

continue reading

Reserve Bank returns to watchful stance

From

RBA Statement on Monetary Policy; PCI The Reserve Bank has tinkered with economic growth forecasts, but the trajectory is largely unchanged. However the Reserve Bank has modestly downgraded inflation forecasts.

continue reading

Biggest slide in home building in a decade

From

Latest economic data The outlook for home builders is gloomy. Council approvals to build news homes slumped by 6.6 per cent in September. Over the past six months approvals have

continue reading