Bonds/Interest Rates

Wall Street fought back from new lows last night as presidents, treasury secretaries and Fed chairman all had something to say. The Dow closed down 37 as analysts contemplated the significance of a twelve-year low.

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.

Confirmation of a record loss from AIG and a huge rights issue from HSBC sent global markets tumbling overnight. Dow down 300. (Locked for subscribers until 10:00 AEDT)

Australian inflation is back on the rise, making a near-term rate cut less likely and stagflation a possibility.

Obama’s first budget contained bad news for Wall Street. Dow down 88.

The Dow reversed an early 200 point fall last night as finally detail began to emerge re the bank rescue plan. The Dow closed down 80.

The S&P 500 joined the Dow at 1997 levels last night as the malaise continues. Dow down 250.

NZ GDP forecasts continue to fall on a mix of weakening outlook for the country itself and for its 12 major trading partners.

…if the RBA governor’s testimony to parliament is anything to go by.