RBA Governor Stevens Sees End of Mining Boom

One of the main drivers of Australia’s economic growth was natural resources. Now with their largest trading partner China signalling slowing growth the RBA has issues a statement that they are ready to act if needed.

Martin Ferguson, the Australian Resources Minister said an interview: “the resources boom is over.”

From Bloomberg:

Reserve Bank of Australia Governor Glenn Stevens said policy makers are prepared to respond in the event the economy slows, predicting the nation’s mining investment boom has at least another year before easing.
“The peak of the resource investment boom as a share of gross domestic product, the highest such peak in at least a century, will occur within the next year or two,” Stevens said today in semiannual testimony at parliament in Canberra. The RBA is ready to act if growth veers off from the outlook, he said.

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza
Alfonso Esparza

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