I have been arguing for some time that the Aussie central bank need to cut rates again. In short they have interest rates at 3.5%, the highest of any major economy out there. Leaves themselves too vulnerable to the carry trade where investors borrow a cheap currency ( you can take your pick at the moment but Yen & USD spring to mind) and invest in the high yielding currencies like the AUD. Puts pressure on an economy dependent on exports. Either way they need to cut to prop up rising unemployment and keep property prices from plumetting. Will find out in a few hours, should be a helpfull action for the adopted aussies amongst us.
Follow me on TwitterMy Tweets