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From Bloomie:
Australia’s central bank faces pressure to resume interest-rate cuts as the economy suffers for its dependence on iron ore, which accounts for more than $1 out of every $5 of export income.
Traders see 64 percent odds GovernorGlenn Stevens will cut the overnight cash rate target by a quarter percentage point to 2.25 percent within 12 months, the strongest chance since September 2013, a Credit Suisse Group AG index based onswaps shows. Money markets and economists see no move at tomorrow’sReserve Bank of Australia meeting.
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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.
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