Wednesday, July 16, 2008
There are fresh forecasts of a further slow down in the Australian economy this year and into 2009.
The Westpac-Melbourne Institute leading index of economic activity has registered an annualised growth rate of 2.1 per cent for May, and indicates a growth rate substantially below trend for the next three to nine months. The fall in the leading index over the past six months is the sharpest decline since early 2001. Westpac says the index implies a substantial easing in spending and demonstrates that there is no further need for official interest rate rises.