A turning tide? What investors need to know about the Aussie economy…

Fears that economic growth would remain anaemic have been dealt a body blow this week.

Data over the last couple of weeks has been critical and  I suspect we’ve just passed through one of those defining moments for an investor.   Mostly that’s due to the level of debate on the Australian economy. Recall the consensus view: That the economy would be weak over the next few years driven down by the end of the mining boom - the investment cliff even! Heavily leveraged consumers would be unable to pick-up the slack, and no reason was given as to why there would be no pick-up in non-mining investment. It just wouldn’t. Finally, the excessively high dollar was branded a millstone. That narrative has been dealt a severe body blow.

But it’s less about the actual growth number and more about the correct narrative



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