Hi, Ben Kingsley here with the economic and RBA update for April, 2021. There’s plenty of data and economic news in this month’s announcement, but the three big takeaways I’ll be covering are:
- Will we see a repeat of The Roaring 20’s!?!
- RBA stays on message
- Property is HOT!
The RBA kept the cash rate at 1% and are in no rush to increase it anytime soon, until inflation is sustainably within the 2% – 3% per annum range. For this to occur, it’s likely that wages growth will need to be sustainably above 3%.
Here’s a snapshot of what’s covered in this video…
The World Economy
Growth is being fueled by three key factors:
1. Global Monetary Policy Easing
2. Government Fiscal Stimulus helping in terms of reducing unemployment and business closures, etc
3. Vaccine Rollout to have material impact by end of 2021, allowing economies to re-open
According to The Financial Times there are currently seven different vaccines that are being administered in over 179 different locations and over 652 million doses administered.
Global News – Get The Recent Update On…
- Joe Biden’s pandemic-relief bill
- GDP update
- Jobs Data
- Further stimulus coming
- New goal with vaccine rollout
- Economic news and latest data
- Current Purchasing Managers’ Index (PMI)
- Retail Sales + Property Investment Rise
- Crackdown on internet platform companies
- CPI Inflation
- European Central Bank (ECB) policy rates
- Government debt purchases to ramp up
- Inflation forecast
- GDP forecast
Australia – The Economic Story
Today the RBA stayed “on Message” signaling to the market that Cash Rate will remain on hold until 2024 at the earliest.
- RBA’s view on bonds
- Lending standards – any changes?
- GDP numbers & What this means for the Australian Economy
- The Unemployment Story
- Australia without JobKeeper…
- Consumer Confidence & Sentiment
- Retail Spending
- Business Investment
- Business Confidence
- Private Credit
Australia – The Property Story
Always remember, Knowledge is empowering, but only if you act on it.