Bloxo: Rate hikes by year end

From Bloxo today:

On hold at 2.50%, as demand is lifting

Timely indicators show that domestic demand is rising, as growth rebalances away from the resources sector: this is needed, given the expected fall in mining investment in 2014-15

Inflation has also passed its trough and the AUD is at a more comfortable level for the RBA

We continue to expect that the RBA’s easing phase is done and that rates may need to be lifted before the end of the year

Full feel good report below.

2014.02.28 The RBA Observer – On hold at 2.50% as demand is lifting PUBLIC (1).pdf by George Scott

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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.