5 key points on the Australian economy & the implications for investors & the AUD

This is via Shane Oliver, Head of Investment Strategy and Chief Economist at Australia's largest investment fund

1. the economy grew solidly over the last year
2. growth is likely to slow a bit from here
3. but it's not going into recession
4. spare capacity will remain for a while yet
5. which means RBA rate hikes are a long way off

And on implications for investors … I'll skip to the currency comments from Dr. Oliver:

• the outlook remains for a further fall in the $A.
• With the RBA comfortably on hold and the Fed raising rates every three months (with the next move coming this month), the interest rate gap between Australia and the US will go further into negative territory making it even more attractive to park money in the US and not Australia which will drag the $A down.
• Threats to global growth from a trade war and problems in emerging countries will also weigh on the $A.

here is the link with much more