David Llewellyn-Smith


APRA suspends mortgage arrears

Via APRA comes the end of mortgage arrears: The Australian Prudential Regulation Authority (APRA) today confirmed its regulatory approach to the COVID-19 support packages being offered by banks and other lenders to their borrowers in the current environment. Many banks have recently announced COVID-19 support packages that provide affected borrowers with an option to defer


SloMo credibility collapses

Cometh the moment, piss off the man. We saw it in the bushfires, now it is replaying for the virus. SloMo’s chosen strategy to fight the virus is that of Singapore but there is a problem, via Greg Sheridan: So how has Singapore kept the infection rate so low, with just a couple of hundred


States circumvent SloMo’s “mass murder” virus strategy

Have a look inside the hospitals of Northen Italy. The Saturday Paper was blunt: Bill Bowtell is both deeply concerned and immensely frustrated. He is concerned by the coronavirus, which is spreading in Australia at rates that put the country on a trajectory similar to Europe. And he is frustrated with the government, which has


Spruiker: Virus a boon for Sydney property

When it comes to property media, the propagandists at “Bricks and Mortar Media” take the chutzpah cake: Federal Government moves to close Australia’s borders while calling for the return of overseas Aussies will help protect Sydney’s property hotspots from the COVID-19 downturn, according to Nick Viner, director of buyer’s agency Buyer’s Domain. Mr Viner said


UBS on how the banks can aid the virus-hit economy

Via the excellent Jonathn Mott at UBS: Banks well positioned to assist the Government and RBA In recent days the Government and RBA have announced a comprehensive package of initiatives to support the economy through the COVID-19 pandemic. RBA Governor Lowe also stated today that authorities will do “whatever is necessary” to support the economy


No virus v-shaped recovery

It is structural change not cyclical. Via Joseph Carson, Former Chief Economist Alliance Bernstein: Economic recession is an infrequent occurrence, but in a fundamental sense recessions are the economy’s way of cleansing the “rot” out the system that have been built up over time. This emanates from bad investments, bad loans, bad policies, excessive risk


Will the oil price go negative?

Cross-posted from FTAlphaville: Back in 2008 the economy suffered from massive oil demand destruction. The result was an epic contango structure in the futures curve which encouraged traders to charter tanks to store oil. A contango (the opposite of backwardation) manifests whenever the price of commodities in futures contracts is higher than the cash price


SloMo response unleashes virus

In my view ScoMo is a sandwich short of a picnic. But I’ve also heard from senior sources that he’s just thick as a brick. When it comes to COVID-19, if it were not for the luck of Summer, Australia would already be Italy. The response to the virus by the Morrison Government has been


The RBA’s excellent day

From Captain Phil: Good afternoon. The Reserve Bank Board met yesterday and decided on a comprehensive package to help support jobs, incomes and businesses as the Australian economy deals with the coronavirus. I would like to use this opportunity to explain this package and to answer your questions. We are clearly living in extraordinary and


RBA cuts, launches QE into carnage

From the RBA just now: The coronavirus is first and foremost a public health issue, but it is also having a very major impact on the economy and the financial system. As the virus has spread, countries have restricted the movement of people across borders and have implemented social distancing measures, including restricting movements within