AMP Oliver’s Insights – Australia slides into a “per capita recession”
AMP’s Dr Shane Oliver discusses the outlook for the Australian economy following another quarter of very weak growth and what it means for investors in this edition of Oliver’s Insights.
Dr Oliver summarises the key points as follows:
Australian growth slowed even more in the December quarter. Growth may bounce back a bit this year, but the housing downturn will likely constrain it to around 2-2.5%.
- As a result, unemployment is likely to drift up and wages growth and inflation remain lower for longer.
The RBA is on track to cut rates this year and the housing downturn will likely see Australian shares continue to underperform global shares.
You can access a copy of this edition of Oliver’s Insights here: