Smite for the right. As expected, the Reserve Bank governor, Glenn Stevens, took aim at the asses in the commentariat who constantly extrapolate the Sydney property boom to the rest of the country. He raised his jawbone and smote them hither and thither in his speech in New York early today, our time. "Popular commentary is, in my opinion, too focused on Sydney prices and pays too little attention to the more disparate trends among the other 80 per cent of Australia,” he told the lunch sponsored by Goldman Sachs.

He also added that interest rates were only one factor driving house price rises, and that they need to be balanced against other financial considerations. And to those galahs constantly chirping about "something has to be done", Stevens pointed out that the rate of credit growth for housing had not picked up further. It’s amazing how few people read the RBA’s monthly report on lending issued on the last day of the month. The February report showed lending for housing (and especially investors) was plateauing, but that credit for business was starting to grow quickly and the rate of growth had reached five and six year highs! -- Glenn Dyer

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