06.02.2015 - The forecast for GDP growth in Australia has been lowered
The price of the Australian dollar will likely continue to decline after the publication of data on the US labor market. Today the Reserve Bank of Australia lowered its medium-term forecasts for GDP growth to 2.25% -3.35% in 2015 and 3% -4% in 2016. Core inflation forecasted by the RBA will be 2% -3%. The unemployment rate according to the expectations of analysts will continue to rise. Investment in the mining sector due to low commodity prices will be reduced. In connection with these facts, we recommend holding short positions on the Australian dollar and maintain the medium-term negative outlook.