Good Morning,
Today is D-Day…
No, we’re not talking about Terminator 2….
We are talking about our good old friend, Glenn Stevens and whether like Yellen, he listens to us here at PEAK and cuts interest rates…
Today…
We certainly need it…
Retail Sales released yesterday showed no growth in spending…
Inflation is not an issue and is at the lower end of estimates…
The Housing Market is definitely cooling down, especially in Sydney and ANZ’s move to tighten lending provisions, means that things will only get tougher for the “Aussie battler”…
More importantly, global central banks are easing and it is now time to cut interest rates again and get some confidence to return.
The AUD/USD is way too high (sitting around $0.76) and commodities need a boost…
Stevens, today is your day to deliver…
No more sitting on your hands, running around the country, giving “speeches” at $1,000/head “gala dinners”…
Cut rates. Thanks.
So what happened last night?
Dow Jones closed 55 points lower, while data showed that European stocks are the cheapest in more than a year….
Time to buy?
The SPI is down 5 points this morning.
Niv
Niv Dagan is an Executive Director of Melbourne based boutique funds management and corporate advisory firm, Peak Asset Management (www.peakassetmanagement.com.au). He is also a regular financial commentator on Sky Business.
