3. Important Information
3
This presentation has been prepared without taking account of the objectives,
financial situation or needs of any particular individual. Before acting on the
information in this seminar, you should consider its appropriateness to your
circumstances and, if necessary, seek appropriate professional advice.
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Examples used in this presentation are for illustrative purposes only.
4. 4
The Big Picture
Deflation/disinflation
Technology game changer
Negative interest rates
Fragile confidence
Australia lacks momentum
7. 7
3
1
7
4
8
5
1
+
-
Unemployment
Population growth
The Northern Territory shares the
top spot of the best performing
economies with NSW.
NT
+
-
Queensland is the fifth strongest
economy but lags on unemployment
and housing starts.
QLD
Unemployment
Business investment
+
-
NSW shares the top spot of the best
performing economies with Northern
Territory. Home building is strong.
NSW
Construction work
Retail spending
+
-
The ACT economy is now the sixth
best performing economy,
supported by housing finance but
constrained by a soft job market.
ACT
Unemployment
Housing finance
6
+
-
Tasmania remains at the bottom of
the economic performance table.
TAS
Various
Unemployment
+
-
Victoria is the fourth strongest
economy, and is second ranked on
population growth and housing
finance.
VIC
Equipment spending
Home lending
+
-
South Australia is the seventh
strongest economy but is third
ranked on population growth.
SA
Retail spending
Population growth
+
-
Western Australia has slipped to the
third best performing economy in the
nation with mining construction fading.
WA
Business investment
Home lending
8. 8
In Short
Not keen to spend, invest
or employ
So What?
Risk averse
Cost control
Strong competition
Step up marketing
Missing ingredient: confidence
10. 10
More homes built & bought
In Short
Firmer housing market
SoWhat?
Positive for building trades
Positive for retailers
Need to follow cycle
16. 16
Exchange rates
In Short
Aussie dollar up & down
So What?
Impact travellers
Impact on costs
Foreign vs domestic
Boost for business
17. 17
Opportunities & Risks
Opportunities
Wealth is rising
Housing-dependent areas
to do well
Tame Budget
Interest rates to stay low
Risks
Economy not growing fast
enough
Rising unemployment
No lift in confidence
Scant real wage growth
18. 18
Outlook
FORECASTS
end 2015end 2014
2.75-3.25%2.5%Economic Growth
2.25-2.75%2.4%Underlying inflation
5.75-6.25%6.1%Unemployment
end 2015mid 2015
2.00-2.25%2.00-2.25%Cash rate
6,100-6,3005,900-6,100Sharemarket (All Ords)
US70-77cUS71-78cAustralian dollar