What's your prediction on the Australian Dollar?

[JohnK]

Went past 77c this morning. CBA predicts 78c this Christmas.

Just goes to show 99.99% of "experts" don't know very much.

 

[Danger]

I appreciated the fact Fairfax included this summary of the 'expert' rollercoaster:

"It [CBA] previously expected the currency to sit at US67¢ by the end of June, but has revised that to US75¢. Its year-end target is US78¢, compared with its previous forecast of US70¢."

​

 

[Awesom Andy]

I appreciated the fact Fairfax included this summary of the 'expert' rollercoaster:

"It [CBA] previously expected the currency to sit at US67¢ by the end of June, but has revised that to US75¢. Its year-end target is US78¢, compared with its previous forecast of US70¢."

​

And the end result will most likely be none of the above.

 

[JohnK]

And the end result will most likely be none of the above.

Or some of the above? LOL.

 

[Awesom Andy]

Or some of the above? LOL.

They're a few "predictions" short of that.

 

[marki]

Next three months ? Anybody care to extrapolate ?

 

[marki]

This will mean a stronger Euro inevitably

 

[clifford]

This will mean a stronger Euro inevitably

Or Germany exiting the Euro.... I'm all for higher interest rates, however.

 

[amaroo]

Happy to see the US$ over 70c ... started drip feeding our contribution to the Peruvian economy.

 

[marki]

Happy to see the US$ over 70c ... started drip feeding our contribution to the Peruvian economy.

Me to currently 75.5

 

[JohnK]

Or Germany exiting the Euro.... I'm all for higher interest rates, however.

Ageing population around the world and we have the lowest interest rates in banking history to fund property booms.

 

[marki]

Ageing population around the world and we have the lowest interest rates in banking history to fund property booms.

Well to be fair Australia is still cash rate King compared to the rest!

 

[JohnK]

Well to be fair Australia is still cash rate King compared to the rest!

Yes waiting for the negative interest rates here sometime soon.

 

[marki]

Yes waiting for the negative interest rates here sometime soon.

The AUD shooting right now just did a quick exchange lock it in!

 

[Deleted member 6404]

Neg interest rates for Australia possible ? if so I will have to buy some more mattresses, there is no way I will be storing my cash in the banks so they can recklessly squander it away then the retires have to bale them out like they did in the USA and now there is no money left. America is BROKE. Europe is Broke Japan is Broke yet people think its OK, its not. Math is pure there will be big consequences that all who rely on this current financial system will find out soon enough.
HANG ON TIGHT

 

[marki]

Neg interest rates for Australia possible ? if so I will have to buy some more mattresses, there is no way I will be storing my cash in the banks so they can recklessly squander it away then the retires have to bale them out like they did in the USA and now there is no money left. America is BROKE. Europe is Broke Japan is Broke yet people think its OK, its not. Math is pure there will be big consequences that all who rely on this current financial system will find out soon enough.
HANG ON TIGHT

Holding onto to Cash ? Maybe gold ?

 

[Deleted member 6404]

Yes Some Physical Cash and Gold. Definitely. And freehold property with a good sized back yard to grow your own food.

 

[marki]

Yes Some Physical Cash and Gold. Definitely. And freehold property with a good sized back yard to grow your own food.

When you travel so much it's not as compatible with pets or a garden nor living in a highrise!

 

[RAM]

Interesting what happens to Govt and Central Banks' resolve when the donors get into the act.

Getting re-elected takes priority over managing the economy.

Getting re-appointed takes priority of sensibly managing monetary policy.

Getting more funding for next election takes priority over the good of the community.

Have you noticed the extent to which 'rational pricing' has been subverted within Australia?

Hint: What is supposedly the greatest challenge of our time?

No, not State Govt's effectively taxing homes with Solar Panels.

Consumer gas prices:

1. State Govt's change the laws to make domestic gas prices mirror export prices...Domestic gas prices go up 2 fold (and more). Yet since export gas prices have halved - Domestic gas prices have not changed. Funny That.
2. Gas tariffs (AGL for example) go down the more you use. So a regressive not progressive pricing regime. Sends price signals (economists and IPART get very excited about these) to use more so average cost goes down. Penalises low-income / low use households relative to high income.

Negative interest rates suit highly leveraged companies.

Coincidentally - most are donors to one or more political parties in their main countries of domicile. Some donate in multiple countries...

Some repeatedly win contracts from State Govts despite admitting to institutionalised programs to bribe Govt MPs and bureaucrats to win projects.

The AUD is becoming not so much the best currency home but amongst a least worse alternative - until it isn't.

 

[Dannyism]

I have a trip to the USA for June 4 - 22. Best case is 78 to 80c, worst case is 71 - 73c. With 74 - 77 being most likely IMHO.