Time For Reserve Bank To Act

The latest Quarterly Survey of Business Opinion, alongside latest data on housing, retail sales, job advertisements, and export returns mean that the Reserve Bank needs to cut the official cash rate in April rather than wait until June, the Council of Trade Unions said today. "The effect of SARS, the Iraq War, and the global economic outlook are further reasons for a cut in interest rates," said CTU Economist Peter Conway

"Most are expecting cuts in interest rates during the year, but it is important that the Reserve Bank does not wait too long."