Petrol/unemployment/economy/property

[investor]

Hi everybody

Here in Sydney we are paying 96c for petrol and me thinks petrol may go up to $1.20 (more if u use premium) with a war in Iraq especially if saddam decides to torch his depots like he did in Kuwait.

Unemployment rose again in Australia.

What are your views on the economy in the near future and how will this affect interest rates and property.

Regards

Investor

P.S Let's not forget the drought as well.

 

[Rolf Latham]

Hiya Investor

My greater concern is the little Aussie Battler, its getting up near the 60 c mark.

Unemployent in Oz in real terms is rather low for a western economy, I come from Germany where the unemployment rate is now in the double digits.

The Oz economy is robust, but in no way bullet proof, hence I cant see any large rises in rates unless, infaltion gies over 5 % and unemployment goes below 6 %

ta

rolf

 

[scott]

interest rates

ANZ is offering 3 year fixed for 6.15%
St george is offering 5 year fixed 6.29%

This suggests that the banks dont think thr rates will rise.

The Wizard home loans fellow who reported the rate drop last year when everyone said it will rise again predicts a rate drop in June (from memory).

Scott

 

[JoannaK]

I'm with Rolf here. I'm more concerned about the aussie dollar going up. Whilst it may be good for those wishing to travel overseas, it's really not that great for international trade.

 

[bbruham]

G'day all,

Having a low Aussie dollar was the best thing going for this country. Especially when it was caused by a strong Yank dollar,
and not by poor management or financial conditions in Australia.
Our exports did well with the currency being low. Stuff the out- going tourist.If they can't afford the exchange rate, then don't go overseas.
My thoughts.

Bruce G.