Tag Archives: consumer spending
What Will Happen to Interest Rates
When The RBA Meets Next Week?
Posted on 31. Jan, 2012 by Chris Lang.
The general consensus seems to be that the RBA will further reduce rates by 25 basis points. But can this view be fully justified; and what does this mean for Commercial property investors?
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Commercial Property Poised to Take Off in 2012
Posted on 13. Dec, 2011 by Chris Lang.
ALL YOU need is a sprinkling of confidence to return ... with and understanding that things are not as bad as you read in some newspapers.
For some time now, I've been trying to explain how the underlying fundamentals for Australia's economy and Commercial property are strong.
And a recent AFR headline "Recruitment boom bucks the trend" (9 Dec 2011, page 41) now confirms that our major law firms are "in the midst of a hiring spree".
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Retailing Isn't Totally Dead ...
It Has Simply Changed
Posted on 20. Oct, 2011 by Chris Lang.
In last week's article, you read a general overview of the Retail sector ... and some of the issues currently confronting traders.
Let's now take a quick look at three of the capital cities.
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Commercial Property & The Economy
Posted on 11. Oct, 2011 by Chris Lang.
Try to keep your focus on the underlying strength of both the Australian economy and Commercial property market. Because, now is the time to you set yourself up for the next 5 to 6 years of growth.
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Interest Rates Are NOT About to Fall
Posted on 15. Sep, 2011 by Chris Lang.
All the talk about the RBA needing to slash interest rates seems to be emerging from a relatively small section of our community.
Retailers and manufacturers probably feel they are going through a recession; and housing is currently moving sideways.
However, you need to look a little deeper than this — because these three sectors account for only 20% of the economy.
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The Spectre of
Rising Interest Rates
Posted on 08. Feb, 2011 by Chris Lang.
The Reserve Bank of Australia (RBA) is not seeing the Australian flood disasters as having a prolonged effect upon the national economy.
It certainly expects the March quarter GDP to decline by 0.5%. But it is then projecting a 4.25% surge, over the remainder of this year.
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Retail Property Facing Challenges
Posted on 22. Dec, 2010 by Chris Lang.
Having weathered the recent rate increases, consumer confidence seems to have risen just a measly 0.3% during November — according to the latest Westpac/Melbourne Institute consumer sentiment index. Households still appear to prefer paying down debt, rather than spending — with Australia's saving level hovering around a record 10.5% of its disposable income.
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Why November?
Posted on 05. Nov, 2010 by Chris Lang.
Most people seemed taken by surprise, when the RBA chose to raise the cash rate to 4.75% on Cup Day this week. However, with Oaks Day being held yesterday, I thought today would be better timing for this post. Sure, the September quarter CPI had fallen to within the RBA's target range. And yes, there [...]
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How Interest Rates Affect
the Property Markets
Posted on 17. Nov, 2009 by Chris Lang.
If the Reserve Bank (RBA) further increases rates in December, you will start to see the housing market plateau in the New Year. However, this should have little or no immediate effect on the rest of the economy. In all discussion about Australia's improving economy and retail spending, there has been little regard placed upon [...]
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Australian Commercial Property
Is Runnning Its Own Race
Posted on 16. Oct, 2009 by Chris Lang.
Unlike the US and Europe, Australia has not suffered a banking crisis. Therefore, our banking system is still capable of providing credit for normal growth. With the US unemployment rate approaching 10%, this will delay any quick turnaround for the Commercial property sector. As you would expect, there is a strong correlation between high unemployment, [...]
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Why Interest Rates Will Start To Soar!
Posted on 01. Apr, 2009 by Chris Lang.
If you're like most people you are probably trying to second guess whether or not the RBA will reduce official interest rates by 0.25% or 0.5% over the next month or so. So, should you fix your rates on your Commercial property now, or wait a while? Realistically, you need to study what is actually [...]
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