Gerard Minack on the capex cliff

Who said the universe was a wasteland of indifference? Yesterday, after reading the Morgan Stanley report on the capex cliff I opined for the return of Gerard Minack. Today, poof, from out of the ether comes Mr Minack’s take on the capex cliff titled The Carnival is Over. The universe cares about MB readers, apparently…

Australia faces the end of a once-in-a-century commodity boom. The outlook is for lower (non-mining) growth, weak income growth, and pressure on public finances. For investors this points to a still-lower A$, under-performance of Australian equities, and a structurally lower policy rate.

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About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.