News Limited’s tabloids-only economic pundit Terry McCrann was making the big call this morning:
Interest rates are finally coming down. At its monthly meeting on Tuesday, the Reserve Bank Board will seriously consider cutting the official interest rate imediately … it will probably opt to leave it unchanged.
You could almost taste the excitement and relief in hard-pressed working family heartland. RATES WILL FALL, screamed the HeraldSun. Why? Because Terry McCrann says they will.
A rate cut at the September RBA meeting in little more than four weeks is certain.
Certain? Gosh. Terry must be confident. But let’s not spend the savings just yet.
The Daily Telegraph
Thursday, 15 March 2007
Good side of US loan meltdown
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THE good news is that the “meltdown”‘ in the sub-prime housing loans market in the US could deliver the stock market correction that we sincerely need.
The better news is that there is no risk of it causing anything worse. It won’t trigger a wider financial crisis and it won’t send the US economy downward.
So the best news is the way this would create investment chances with limited risk. The investment and economic upsides would remain broadly intact; you get to buy it cheaper.
Yes. Terry’s been certain before.