The nation’s top bosses have heaped praise on Labor’s first year in office, but want more action on migration, skills, energy and housing.Overseas data: German IFO business climate survey December; US December NAHB housing market indexOn Wall St: Dow -0.9% STesla -4.7% Apple -1.5% Amazon -0.7% Microsoft -1.7%Spot gold +0.9% to $US1793.08/oz in New York10-year yield: US 3.48% Australia 3.45% Germany 2.14%said investors need to brace themselves for more pain.P’s 2023 lows would be about 3300.
“The risks to our outlook are fairly balanced. A hawkish Fed risks over tightening and a hard landing. But there is also a path toward no recession if inflation falls more rapidly and opens the door for a lower terminal rate and perhaps an earlier policy reversal.“Mind you this would be the first soft landing to occur when the central bank was so offside on starting-point conditions for inflation, policy rates, and the jobless rate.
As for Europe: “The [European Central Bank last week] showed a high hurdle for slowing the hiking pace below 50bp per meeting and our economists now forecast two additional 50bp hikes in February and March, with a terminal rate of 3.25 per cent .