Daily FNArena News - Australia

TD Securities have gone on record, predicting three 25bp rate cuts in the next three months as the view on the Australian economy darkens.

A few home truths.

Further policy measures are expected in Australia but brokers see growth risks remaining to the downside in coming months.

While the RBA surprised by not cutting, few were taken aback, with the FNArena Snap Shot consensus still calling for an official cash rate of 2.3% by some time this year.

Lihir has joined the ranks of companies raising capital and brokers are broadly positive on the move.

Australian GDP for the December quarter contracted by 0.5%, potentially prompting further stimulus measures in coming months.

The RBA left the cash rate unchanged at 3.25% as the Australian economy holds its own against the world.

Bolstered by some surprising economic data released today, the RBA has made good on its “wait and see” approach and left rates unchanged.

According to CommSec the recently completed reporting season in Australia was relatively solid given global conditions but there are still challenges facing investors in coming months.

Overnight ISM manufacturing data from the US might be painting a hopeful picture, but not for Australia.