Daily FNArena News

Higher oil prices not the credit crisis caused the global economic downturn, so with oil pulling back, a recovery should now be in the making.

In cutting by 75 basis points today the RBA noted the sharp fall in the Aussie dollar may mean inflation takes longer than otherwise to ease.

The Reserve bank delivered a greater than expected rate cut this afternoon.

Caltex says that current year earnings will be hurt by the rapid fall in the Australian dollar, but a weaker currency is a longer-term positive.

Australian house prices fell in the September quarter but Westpac notes conditions are becoming more supportive so 2009 may be less challenging.

With global investors forced to buy USD to cover losses in USD assets, the clear winner has been the USD itself, but markets will normalise.

Maybe Australia’s not in the same bad shape as other economies, but falling job ads are just more evidence that we’re far from immune.

According to Westpac forex markets have adjusted for current economic conditions but some currencies have moved too far or not enough, creating some opportunities.

The TD Securities Melbourne Institute Monthly Inflation Gauge fell in October for the first time since February of 2006, suggesting Australia’s inflation pressures are now easing.

Weekly Musings by your editor. Here’s one thing I have learned: long after the trend has reversed investors are still looking at the past for future guidance.