Via Chris Uhlmann comes a rare voice of sanity: What is it that terrifies the people of Hong Kong about the Chinese Communist Party that eludes so many pliant Australian academics, business leaders and ex-politicians? In the same breath, some local cognoscenti lament the Australian government’s weakness in barely mentioning the troubles in the Chinese
Via the ABC comes Philip Gall, chair of the Owners Corporation Network. I write this piece as one of the lucky apartment owners. Lucky not because I managed to break into the apartment market, but because I survived it financially intact. In 2008 I purchased a two-bedroom apartment in a six-level complex near a good rail
Earlier this month, Auditor-Generals from Australia’s three largest states warned that Australia’s universities have become dangerously reliant on fees from international students, which have ballooned on the back of the massive rise in international student numbers, as shown below: As you can see, the number of international students studying in Australia has nearly doubled to
“Tiny homes are an Orwellian rebranding of the systematic exclusion of younger generations from home ownership”. What a great quote that is. What smart cookie came up with that? Some bloke named David Llewellyn-Smith on ABC radio yesterday. Full interview here: They should get him on more often.
The Communist Party of China has turned deeply irrational. We’ve seen it paint itself into a corner on a trade deal, massively overreach in Hong Kong and now it is readying to push the trade war into commodities. Via Zero Hedge: During a Monday press conference, the Chinese NDRC said it was developing new state
Trade war? No problem. Housing bubble is the answer. Monthly house price data for May had new house prices up an accelerating 0.7% and 10.7% year on year: The breadth is now nearly complete with 68 of 70 markets rising: Including some formerly constrained first tier markets: The raw data: Expect this to continue because,
Via the Lunatic just now: International Economic Conditions Members commenced their discussion by noting that the data on the global economy released since the previous meeting had been mixed. GDP growth outcomes for the March quarter in some economies had been slightly stronger than the second half of 2018, while labour markets had remained tight.
I don’t mind a bit of hope. But that’s different to the complete rot that the CSIRO pumped out today: The Australian National Outlook is a new initiative by CSIRO, which is intended to contribute to the evidence base and understanding required for Australia to navigate the complex and often intertwined challenges involved in achieving
In all the years following the CoreLogic daily dwelling values index, I can’t remember ever seeing wall-to-wall falls across all major markets on a daily, quarterly and annual basis: Certainly one to frame and put on display in the economic pool room.
Nothing makes my blood boil more than “tiny homes”. Whether it is the buyers or sellers of the sardine cans, acceptance of their existence represents a gigantic failure of the Australian political economy. Those Millennials that Domain so loves to quote as they gasp out a few words from diaphragms crushed between kitchen cabinet and bed,
Bitcoin is back: I won’t even pretend that this is sustainable. Nothing has changed for crypto in my book. It is as worthless and useless as ever. With the same inbuilt contradiction: that if it succeeds it can only fail, given it’s only purpose is subvert a fiat currency system that it does not control.
Via Domain: Gambling is the latest target of banks in the new world of mortgage lending, with many lenders now questioning betting habits great and small. Mortgage brokers are warning prospective home buyers who gamble to rethink their habits or risk being unable to borrow from most lenders. The increased scrutiny even extends to large
Via The Telegraph: The Chinese tech giant Huawei was compared to the company that produced the lethal gas for Nazi extermination camps, as one of its executives was probed by MPs. John Suffolk, the company’s Global Cyber Security and Privacy Officer, left MP’s frustrated as he was accused of refusing to answer “simple questions” when
So say some agent, at the AFR: The post-election housing euphoria has fizzled out into a state of “calm and caution”, with agents likening the market to a shaken can of Coke. “When you take a can a Coke, and shake it, it explodes and then starts to flatten out – that analogy is quite
On one side is the security agencies and Australian Defence Force on the other is other departments and the Parliament and they are in a fight to do the death. Last week we saw an unprecedented raid on Newscorp after it released secret papers relating to a push by the Australian Signals Directorate (the ADF
DXY was whacked Friday night and has broken its uptrend line (though not necessarily its up trend). EUR leaped. CNY was flat: The Australian dollar jumped to new highs above 0.7 cents but fell against the roaring EUR: It was flat against EMs: Gold firmed again: Oil too: But not metals: And miners were only
Australian employer groups frequently claim that a strong ‘skilled’ migration program is required to overcome perceived labour shortages – a view that is shared by Australia’s state and federal governments. However, the available data does not support their assertions. First, while Australia’s is said to run a ‘skilled’ migration program, the Productivity Commission’s (PC) 2016
By Leith van Onselen In September 2016, Developers Raman Shaqiri and Stefce Kutlesovski illegally demolished the two-story 1859 Corkman Irish Hotel in inner-city Carlton. The building was under heritage protection, and yet these cowboy developers bulldozed the hotel under the cover of darkness without planning permission. Last year, the same developers pleaded guilty to dumping asbestos
By Leith van Onselen Another report has emerged warning that Australia’s migrant slave economy is putting downward pressure on wages: Wages and working conditions could take a hit if ‘gig economy’ jobs such as takeaway delivery continue to expand, researchers of a new study have warned. In 2017 the researchers spoke to 58 Uber Eats
Via The Australian comes ANZ mulling the end of rate cuts: “Further support for the economy is likely to be required in 2020, given the gathering global uncertainties,” Mr Plank said. “We think the RBA will likely reach for tools other than the cash rate, with explicit forward guidance the possible first choice,” he said. Mr
Via the Kouk: The Reserve Bank finally did it. Cut interest rates that is. In an effort to redeem itself from what is clearly its worst policy mistake since the lead into the early 1990s recession, the RBA has belatedly delivered the 13th interest rate cut in this very long monetary policy easing cycle. It
I have underestimated Mr ScoMo, via Domain: In his first interview since being elevated to cabinet, the Minister for Population, Alan Tudge, said immigration had played a key part in the May 18 federal election result – with outer suburban areas in Melbourne, Sydney and Brisbane backing the Coalition to deliver fewer migrants and increased
Earlier this week, the Herald-Sun reported that gangs have been targetting Chinese international students near Monash University, with 13 separate violent attacks at knifepoint reported over the past 18 days. The assaults have prompted Federal Education Minister, Dan Tehan, to ask his Department to examine ways to ensure student safety in order to protect Australia’s
By Leith van Onselen The Australian Bureau of Statistics (ABS) today released the national accounts for the March quarter, which registered soft 0.4% growth in real GDP over the quarter and 1.8% growth over the year. On a per capita basis, real GDP was flat over the quarter, which follows the September and December quarter’s
Via Herald Sun: Federal police officers are raiding the home of News Corp Australia journalist Annika Smethurst over a story about a secret government plan to spy on Australians. …“The matter relates to an investigation into the alleged unauthorised disclosure of national security information that was referred to the AFP. “Police will allege the unauthorised
By Leith van Onselen Perth’s epic housing bust, where values have fallen for over 59 months with cumulative losses of 19.2%: Has seen values fall to the same level as April 2006, according to CoreLogic: “In Perth values were previously this low in April 2006 and values haven’t been this low across regional WA since July
Via Martin Wolf at the FT: Across-the-board rivalry with China is becoming an organising principle of US economic, foreign and security policies. …A framing of relations with China as one of zero-sum conflict is emerging. Recent remarks by Kiron Skinner, the US state department’s policy planning director (a job once held by cold war strategist
DXY fell again last night as EUR rose and CNY was soft: The Australian dollar blasted through 0.7 cents and against DMs: Not so much EMs: Gold firmed: Oil struggled: Metals too: Big miners lifted: EM stocks too: US junk roared back but not EM: Treasuries pulled back: Bunds were bid: Stocks took off: The
There seems to be some confusion in the MB readership about our position regarding rate cuts. Let me clear this up: we support the cash rate being cut to zero; along with tougher macroprudential measures to prevent any rebound in mortgages; this would crash the AUD and force a restructure onto the Australian economy away
ANZ has held onto 7 basis points from today’s 0.25% rate cut by the RBA: “In making this decision we have weighed up a number of factors, such as business performance, market conditions and the impact on our customers, including our depositors. “While we recognise some home loan customers will be disappointed, in making this
