From Morgan Stanley today:
The East Coast Recovery Has Stalled
Though the ‘housing-led’ part of the Australian macro storyline has come through (perhaps a little too quickly), we see no room for complacency. In particular, we explore four shocks that have come through in recent months, increasing the degree of difficulty for Australia’s ‘great transition’:External – The supply shock in bulks, combined with further signs that China will accelerate its rebalancing and reform agenda has impacted the terms of trade.
