People walk past a shop, displaying sales promotions, in Melbourne, Australia. Agence France-Presse
Australia’s strong economic performance of recent decades has allowed its central bank to avoid the kinds of unorthodox policies seen in other countries, but record low rates mean less conventional measures may be needed to tackle new challenges.
Central banks in Asia, Australia and New Zealand (NZ) have joined a brewing global currency war by slashing interest rates and pledging to keep them down, worrying markets over the risk of a chase to the bottom.
Australia’s central bank will consider cutting interest rates next month, Governor Philip Lowe said on Tuesday as the resource-rich economy looked set to join some of its global counterparts in easing financial conditions to boost growth. Lowe also urged the country’s newly re-elected government
Australia’s industrial relations umpire raised the national minimum wage by 3 per cent from July 1, a smaller pay rise than the 3.5 per cent increase enjoyed by workers last year, reflecting a weakening economy and cooling inflation.
Japan’s fourth quarter GDP shrinks much faster than expected and its economy shrank at the fastest pace in almost six years in the December quarter as a sales tax hike hit consumer and business spending,
General Motors Co said it would wind down its Australian and New Zealand operations and sell a Thailand plant in the latest restructuring of its global business, costing the US auto maker $1.1 billion.
Gold prices on Monday eased from a near two-week high, as a monetary policy intervention by China’s central bank to limit the economic impact from the coronavirus outbreak reassured investors and boosted demand for higher-risk assets.