Banking / Investment in Australia
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AUSTRALIA, 2016/03/08
Subdued wage increase is likely to keep inflation low and monetary policy very accommodative, Reserve Bank of Australia Deputy Governor Philip Lowe said Tuesday.
"It is possible that wage outcomes will remain very subdued even in nations with strong labor markets," Lowe said in a speech Adelaide.
If this turns out to be the case, again it is likely that inflation rates will as well continue to be very low and monetary policy very accommodative, he added.
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AUSTRALIA, 2016/02/16
The Reserve Bank of Australia said the record low interest rate is supporting household spending increase and housing investment , and the weaker currency boosts request for domestic production.
The increase in employment as well supported household consumption increase, RBA said Tuesday in the minutes of February monetary policy conference.
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AUSTRALIA, 2015/05/05
The Reserve Bank of Australia (RBA) has cut its key interest rate by 25 basis points to an all-time low of 2%. Rising property prices in Australia's biggest city, Sydney, a strong currency and a drop in iron ore prices are part the reasons for the cut.
The cut is the second this year, following a previous 25 basis point cut in February. The RBA's move follows similar action from central banks in China, Canada, Singapore, Korea and India.
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INDONESIA, 2014/09/21
The price of investor-national dispute settlement (ISDS) procedures has been questioned by Australia and, additional recently, Indonesia. The Australian government’s controversial 2011 Trade Policy Statement — stating that Australia would not acknowledge to ISDS in its treaties — caused significant debate. In part, Australia’s policy was motivated by Philip Morris’ legal action against the government over legislation requiring the plain packaging of cigarettes.
Since again, a change of government in 2013 has meant that Australia has retreated considerably from its previous strict position. The current Abbott government has indicated it will consider the inclusion of ISDS on a case-by-case basis. While the government agreed to the inclusion of ISDS in the recent agreement with Korea, no such regime was included in the agreement with Japan.
Recently, Indonesia has indicated discontent with the current national of its investment agreements. Some in Indonesia have expressed an aversion to ISDS in particular. Before this year, the Netherlands embassy in Jakarta announced that the Indonesian government had informed the Netherlands that it intended to terminate the Netherlands–Indonesia Bilateral Investment Treaty (BIT) from 1 July 2015, which is at the same time as the BIT expires. The Netherlands embassy as well stated that the Indonesian government had mentioned it intended to terminate all of its 67 BITs.
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AUSTRALIA, 2014/03/05
Australia's central bank on Tuesday maintained its major cash rate at a record low for a seventh successive month, and indicated a period of stability in monetary policy, as inflation pressures remained high.
The Reserve Bank of Australia, or RBA, kept the policy interest rate unchanged at 2.5 % following its rate-setting conference. The decision was in line with economists' expectations.
In a post-decision statement, Governor Glenn Stevens said that the monetary policy is appropriately configured to foster sustainable increase in request and inflation outcomes consistent with the target.
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AUSTRALIA, 2013/10/08
Policymakers at the Reserve Bank of Australia on Tuesday decided to hold the benchmark cash rate unchanged at a record-low of 2.5 % for a second consecutive time and said a weaker exchange rate would help to rebalance economic increase.
The RBA has reduced the cash rate by a cumulative 225 basis points since November 2011 on the premise that accommodative policy is needed to support request in areas outside the resources sector, as the peak in mining investment approaches.
In a statement, RBA Governor Glenn Stevens said the Australian dollar rose recently, but is still about 10 % below its level in April. "A lower level of the currency than seen at present would assist in rebalancing increase in the economy," he said.
Stevens said the easing in monetary policy since late 2011 has supported interest-sensitive spending and investment values. "The full effects of these decisions are still coming through, and will be for a while from presently on," he added.
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AUSTRALIA, 2013/07/19
An Australian bank is quietly beating Wall Street's powerhouses in a game they have long dominated: trading in the staples of the world economy.
Sydney-based Macquarie Group earned about $720 million trading commodities in the financial year to March, for the initial time exceeding onetime standard-bearer Goldman Sachs Group Inc, which reported $575 million in revenue in 2012, the firms' filings show
While direct comparisons are difficult because banks statement their earnings differently, the contrast in their trajectories is stark: Macquarie's commodity earnings have additional than doubled since 2007. Goldman's have slumped almost 90 % since hitting $4.6 billion in 2009, battered by rising regulation and tougher competition.
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AUSTRALIA, 2013/05/13
The Reserve Bank of Australia said it expected increase of 2.5 % and inflation of 2.25 % for the year ended Dec. 31, compared with previous forecasts published in February of up to 3.0 % for both.
“In general, the subdued outlook over the next year or so continues to reflect the approaching peak in mining investment , ongoing fiscal consolidation and the high level of the Australian dollar,” the RBA said in a quarterly statement on monetary policy.
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AUSTRALIA, 2013/03/19
The Reserve Bank of Australia will on Tuesday release the minutes from its monetary policy conference on March 5, highlighting a modest day for Asia-Pacific economic news.
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AUSTRALIA, 2012/12/11
Business confidence in Australia deteriorated in November, according to survey results released Tuesday by National Australia Bank. The NAB Business Confidence Index declined to minus-9 from the October reading of minus-1.
It was the lowest reading since April 2009.
The accompanying Business Conditions Index was unchanged at minus-5.
