AFR Smart Investor --- Page: 20-22 : January 2008 Original article by David Bassanese
LexisNexis Summary
The Australian economy appears sufficient strong to withstand the repercussions of any slowdown in the US economy. Although there is a risk that a drop in commodity prices could drag down the Australian dollar, interest rate differentials are likely to benefit the currency. Consumer spending climbed 1.2 per cent in the last quarter, while the overall economy has grown at an average pace of 4.3 per cent per annum for the past four quarters. Macquarie Bank's Brian Redican notes that companies still plan to raise their investment spending by 20 per cent in 2007-08.
