Archive for June 2018

Credit Suisse: Aussie credit crunch intensifying

This article is written by Damien Boey of Credit Suisse. Duration of the credit crunch Yesterday, we published an article explaining why we think that credit tightening will be deeper for longer (attached). Our argument is as follows: 1.    1Q APRA data and credit spreads point to a 10-20% drop in loan approvals in the next…

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Digitalisation of money and the future of monetary policy

This article originally appeared on VOX EU on 12/6/2018, written by Peter Bofinger. The digitalisation of money has the potential to change traditional structures of the financial system. This column discusses four areas in which it may have an impact, and argues that while digitalisation will not erode the importance of central banks, banks could…

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RBA has lost control, banks must hike mortgage rates

Banks are quite entitled to increase interest rates at any time. However, increasing due to funding cost increases which may be caused by their own lending policies does not reflect well. In the shadow of the Banking Royal Commission perhaps they should hold off, but I doubt it. This article originally appeared on Credit Suisse,…

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