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Economics

Chief economist update: The money is one Fed rate hike next year

BENJAMIN ONG  |  MONDAY, 19 NOV 2018
The CME FedWatch Tool shows probability of the Fed funds rate at 2.75% by the Fed's last meeting in 2019 is the highest at 35.3% (up from 29.4% a month ago). Are financial markets now putting their money on just one more rate hike next year?

Chief economist update: Slowing in sync

BENJAMIN ONG  |  FRIDAY, 16 NOV 2018
For better or poorer, economic uncertainties have now turned the synchronised global upswing of 2017 and early 2018 into a synchronised global slowing (including the US), based on Markit PMI surveys.

Chief economist update: Faster wages growth a one-off?

BENJAMIN ONG  |  THURSDAY, 15 NOV 2018
Don't pop that champagne cork yet. Australian wages growth could be a one-off.

Chief economist update: Buy the dip or sell the rallies?

BENJAMIN ONG  |  TUESDAY, 13 NOV 2018
Wall Street should be channeling R. Kelly, singing "I believe I can fly, I believe I can touch the sky."

Chief economist update: Cheaper oil greases wheels of growth

BENJAMIN ONG  |  MONDAY, 12 NOV 2018
Lower oil prices may be bad for energy companies and oil producing/exporting countries but they're a blessing for others. The reason being that lower oil prices are, net-net, positive for growth. They increase household disposable income, lifting consumption ...

Chief economist update: As safe as Australian houses?

BENJAMIN ONG  |  THURSDAY, 8 NOV 2018
The correction in Australia's housing market remains orderly but it also raises doubt with regards to the Reserve Bank of Australia's statement that the next move in interest rates will likely be up.

Chief economist update: Oil slick

BENJAMIN ONG  |  WEDNESDAY, 7 NOV 2018
Put two and two together - reduced demand and steady supply - and it's easier to explain why oil prices are now back to early 2018 levels.

Banks must reshape to survive compliance and technology crunches

DARREN SNYDER  |  TUESDAY, 6 NOV 2018
KPMG and EY highlight Australia's big four banks must balance ongoing compliance costs with continued spending in technology or face being left behind when it comes to innovation.

Chief economist update: The Middle Kingdom's middling growth

BENJAMIN ONG  |  TUESDAY, 6 NOV 2018
While Chinese GDP growth slowed from 6.7% in the second quarter to 6.5% in the third quarter - right on central command's target - Caixin's latest Purchasing Managers' survey indicates the economy could be heading for stagnation.

Royal Commission hits Westpac cash earnings

JAMIE WILLIAMSON  |  MONDAY, 5 NOV 2018
Westpac reported a flat net profit of $8 billion with increased remediation provisions and legal costs weighing on the group's cash earnings.