As the recent slowdown in retail spending growth and residential building activity point to the Australian economy’s greater reliance on the external sector, the Reserve Bank of Australia’s decision to reverse some of the recent strengthening in the Australian dollar is justified, believe analysts at Capital Economics. Paul Dales said in his research report titled “Dollar crucial when domestic demand is slowing” that he believes the recent strengthening in the AUD should support a rise in consumer confidence in April. Retail spending hardly grew over the past 3 months in Australia Dales points out that by leaving interest rates on hold at 2% at its April policy…
Reserve Bank of Australia Needs To Weaken AUD: Capital Economics
Mani
Mani is a Senior Financial Consultant. He has worked in Senior Management role in large banking, financial and information technology organizations. He has provided solutions for major banking and securities firms across the globe in the area of retail, corporate and investment banking. He holds MBA (Finance) and Professional Management Accounting Qualifications. His hobbies are tracking global financial developments and watching sports