Positioning for interesting economic times – The Squiz


Australia’s economic growth rose to an annual rate of 3.3% in the January-March quarter, the Australian Bureau of Statistics said yesterday. That’s despite the Omicron wave and flooding on the east coast, and it’s better than economists were expecting. Note: it’s not as strong as the 4.2% growth rate we set in October-December, but that was driven by Sydneysiders and Melburnians shaking off the lockdowns of mid last year. And not taking a glass-half-full attitude to the update – Australia’s new Treasurer Jim Chalmers.
He said he was happy to see the “pleasing” demand in the economy (aka we’re out and about buying stuff) and tight labour market (aka pretty much anyone who wants a job has one). But… he says he’s focused on “skyrocketing” inflation, the “spike” in energy and fuel prices, falling real wages, interest rate hikes and $1 trillion in government debt. So yeah, he’s got a few things on his plate… He also says when you dig into the detail, the data released yesterday shows consumption, investment, and exports are weaker than the Coalition forecast before the election. “These national accounts are a glimpse of the mess that the former government left behind for us to clean up,” Chalmers said.
There’s no need to head for the hills and go off-grid just yet… Pundits say there’s a bit of grandstanding going on because it’s New Government 101 to talk down what your predecessors left you. That way, if things improve, you’re a genius – and if they get worse, well, we told you things were bad and it’s all their fault… But it’s also undeniable that there are several economic challenges that Team Albanese are about to face – none of them is easy to fix, and many are outside the control of the government. Like soaring global energy and food prices thanks to the war in Ukraine. And like soaring inflation thanks to high energy prices, a workforce that’s still navigating a pandemic, and global supply chain issues. And with national home prices falling for the first time in almost a couple of years and ‘repayment shock’ about to set in for many mortgage holders, there are a lot of expectations for the new government to manage…
Know someone who’d be interested in this story? Click to share…

Your shortcut to being informed, we’ve got your news needs covered.
A uniquely Australian take on the news headlines, sent each weekday at 6 am.
Quick explainers on big news topics.
Quick, agenda-free news that doesn’t take itself too seriously. Get on it.
Copyright © 2020 The Squiz. All rights reserved. PO Box 596, North Sydney NSW 2060. | [email protected] | Privacy | Terms & Conditions



Related posts

BMW tests 5G positioning with Vodafone and Nokia at Leipzig factory - Enterprise IoT Insights

Vodafone Germany has been busy with private networks for Industry 4.0. A new announcement, with…
Read more

Dilweg Debuts New Brand Positioning that Highlights Company's Continued Commitment to Investors and Tenants - Yahoo Finance

<span class="legendSpanClass">The Real Estate Investment Firm Kicks off the Year…
Read more

North American Specialty Laminations New Brand Positioning - PR Newswire

Searching for your content… In-Language News Contact Us 888-776-0942 from 8 AM – 10…
Read more

Sign up for The Pro People Community's Daily Digest and get the best of Industry updates, tailored for you.

Leave a Reply

Your email address will not be published. Required fields are marked *