This week saw the Reserve Bank of New Zealand cut the official cash rate (OCR) by 0.25% to 3.50%, as widely expected. The reduction means the OCR has now fallen by 2.0% from its peak of 5.50%. Curiously, the Reserve Bank’s commentary attached to its decision was not as dovish as expected. “Most members” saw
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Victoria has the nation’s highest per capita debt and the lowest credit rating. The recent budget update reported that Victoria’s net debt has risen from $36 billion to $155 billion during the last decade. The state’s net debt is expected to rise to $187 billion in the three years to 2026–27. The expansion of Victoria’s
On Wednesday, the Australian Greens announced that the abolition of negative gearing and the capital gains tax (CGT) discount will be a priority in a minority government. The Greens’ policy is as follows. Grandfather negative gearing and the 50% CGT discount to one investment property. Any properties purchased after the policy commences, or the second
“It’s almost heartbreaking:” LNP states have killed two renewable targets in two weeks. What’s next?
It is hard to believe that the Dutton-led Coalition now faces the prospect of losing seats at the upcoming federal election. The combination of Donald Trump’s trade war and policy own-goals like promising to ban working from home (since revoked) has sent Coalition support plummeting. The latest YouGov poll shows that Labor now leads the
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Sydney’s housing market is losing momentum. CoreLogic’s daily dwelling values index shows that Sydney recorded only a 0.1% rise in the past 28 days, the softest result across the five main capital city markets. Sydney’s 0.1% rise in values compares to 0.6% growth in Melbourne, 0.3% in Brisbane, 0.7% in Adelaide, 0.3% in Perth, and
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SGX and rebar futures have firmed a little. The Chinese ferrous PPI is weak, down 0.5% in April and 10% year on year. This will intensify as tariffs land. Goldman has downgraded China. On April 9th, President Trump announced a further increase in the tariff rate on imports from China to 125%, following the Chinese
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Ukraine’s commander-in-chief, Aleksandr Syrsky, has said Kiev must mobilize 30,000 soldiers every month to sustain resistance against the Russian army. He also highlighted the growing disparity between the military capabilities of the two countries.
It’s time to acknowledge that the dream of ‘net zero’ emissions is dead. The world’s top three carbon emitters are China (31.5% of total), the United States (13.0% of total), and India (8.1% of total). In 2023, these three countries accounted for more over half (52.6%) of global carbon emissions. As shown above, China and
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This is not what a central bank governor should say as the world falls apart. Inevitably, there will be a period of uncertainty and adjustment as countries respond to the ongoing tariff announcements by the United States administration. It will take some time to see how all of this plays out and the added unpredictability
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