Australia'S GDP Is Likely To Decrease Flood Related

Australia'S GDP Is Likely To Decrease Flood Related

Tuesday, 31 May 2011 10:24

Economy of Australia may decline in the last quarter of the worst in two decades related tergenangnya mine coal and agricultural land caused a flood, a contraction which is judged by the central bank as a while before growth rebound in the second half of this year. First quarter gross domestic product was down 1.1 percent from three months earlier, the biggest decline since the last recession in 1991, Australia according to the estimates of the median of 22 economists in a survey of Bloomberg News. "The weakness of the data this morning might be enough to make the delay the Central Bank of Australia (RBA) raised interest rates a month longer than I thought," said Stephen Roberts, a senior economist at Nomura Australia Ltd. in Sydney who had predicted a rise when the RBA meeting on 7 June. "They've got a little more time, before the second quarter inflation report due on July 27," he said. RBA Governor Glenn Stevens has pledged to look at data before distorted by natural disasters and says prices will rise "at some points" adding to the risk on inflation. The local currency has increased 27 percent in the last 12 months where the companies including BHP Billiton Ltd. (BHP) increase field hire to meet the demand of China and India for iron ore and coal, making unemployment below 5 percent. Compared with previous years, the economy of Australia may improve the 0.8 percent in the first quarter, after getting an increase of 2.7 percent from a year earlier in the previous period, a survey of economists showed. Net Exports Australia's current account deficit widened more than estimates of economists in the three months to March-related natural disasters which complicate the delivery of resources, a Government report showed today. Net exports minus 2.4 per cent of GDP growth in the first quarter, more than double the estimates of economists, the Bureau of Statistics said. Local currencies little changed after the report, is trading at $ 1,0713 in the hours of 2: 32 am Sydney time of $ 1,0741 before release. Appreciation Of AUD Representing ' Consumer Spending "Some sectors of the economy is expected to be very strong, while the condition will be quite difficult in other sectors due to the appreciation of the exchange rate and undermine consumer spending," said the central bank in the quarterly review in Sydney on May 6. The local dollar beyond $ 1.10 on 2 may, the highest level since 1983. Rise of the eye uangmenyulitkan exporters including Henderson, shipyard Austal Ltd (ASB) based in Western Australia. Hold Interest Rates The interest rate of 4.75 percent reference RBA is the highest in the vicinity of developed countries, raise debt payments for homeowners. Myer Holdings Ltd (MYR) and David Jones Ltd (DJS), who manages the largest department stores, reported a decrease in sales Australia quarterly on 11 May. In view of the quarter which was released May 6, the estimated growth of RBA will be 4.25 percent this year, changed from an estimate in February. Consumer prices will rise 3.25 percent during this period, from the previous prediction of 3 percent, and the core inflation will go up to 3 percent of 2.75 percent, they said.