The inventories number was weaker than expected and suggests they may detract from growth in the third quarter. It looks like GDP is going to be weak for the quarter.
Whenever she's around you're pretty much happy. She'd come over to my house between classes and I'd take her to class. We'd just talk. I told her all the time she reminded me of my sister. There aren't many people I could talk to like I talked to her.
If it looks like high oil prices will be sustained or even rise further, then it does put the pressure on the bank to hike rates again.
The labor market will soften this year and that will take pressure off the central bank. Increasingly people expect the bank to remain on hold as domestic demand and employment growth slow.
Australia has a split economy. The resources sector is booming, but the rest of the economy is slowing.
There's little upside for the Australian dollar at these levels. We expect the dollar to fall over the next week or so whether there's an increase in interest rates or not.
We've been consistently surprised by the strength of the labor market. We still think over the next year it will moderate amid slowing housing and consumer spending.
The path of least resistance for the Australian dollar is down. Base-metal prices are likely to continue to come off a bit as inventories rebuild.
