What do you do if you don’t own a crystal ball?

For most of us, trying to decipher the mixed messages we receive about Australia’s economic future is all too much. Falling short of looking into a crystal ball, the signs to watch are:

  • Confidence – Business, consumer and share market confidence.
  • Inflation – Keep a close eye on inflation levels.
  • Interest Rates – Consider the cash rate and how often the Reserve Bank of Australia alters the rate
  • Unemployment – Employment levels can be a sign of future growth or downturn.
  • Commodity prices – Look at what prices commodities are trading for.
  • Australian Dollar – Observe the AUD against the USD as well as the Euro, Yen and British Pound.
  • Gold Price – Examine the price gold is selling at.
  • Housing – Take into account auction clearance rates, new home demand and price growth.

Today we are fortunate that economic data is readily available which allows everyday people to come to their own conclusions on Australia’s economic future.