Wry & Dry #35-24. Budget spin-time. Government grants meets Hitler youth. Covid responsibility.
It only comes once a year: budget spin time. Spinners opening at either end.
At the Victorian end, the spin will be in the hands of the well upholstered treasurer of Victoria, who has to somehow explain what he did with the money. Over the last 10 years.
At the Canberra end, the spin will alternate between Grim Jim and Albo (wearing a hi-vis vest, instead of the traditional creams).
Finding the crunch point – RBA raising rates? What?
In our recent communications, we have suggested that the RBA, while it can reduce interest rates and mortgage costs through 2024, could benefit significantly by following the rest of the world’s lead in reducing rates. This approach would result in a longer pause at current rate levels, particularly in the face of higher or persistent domestic inflation.
Read as our CIO explains how interest rate increases can disproportionately affect different segments of the economy.