Alan Kohler is one of Australia’s most experienced business commentators. Alan has been a trusted source of investment advice to Australians for many years, and in 2005 he founded Eureka Report - Australia’s #1 online investment report. Along with Robert Gottliebsen and Stephen Bartholomeusz, Alan also founded Business Spectator, the popular business news and commentary website. Alan is the regular finance presenter on the ABC News and producer of the popular nightly graph (or two).
Neutral interest rates are falling across the developed world, including in Australia, leaving the RBA with less room to move. If state and federal governments don’t pick up the slack a recession could be on the cards.
A fall in the value of retail sales suggests a sharp decline in household spending, with real GDP set to contract for the first time since March 2011. The RBA should seriously consider a rate cut to give consumers a boost.