Original article by Tim Boyd
The Australian Financial Review – Page: 12 : 21-Dec-18
Andrew Boak and Tom Kennedy have differing views on whether low savings rates are a sign that Australian consumers are optimistic. Boak, who is Goldman Sachs’ chief economist in Australia, believes that low saving rates show that consumers are using their savings to spend, and it reflects a sense of optimism. However, Kennedy, who is JP Morgan’s global fixed income strategist, says if consumers were feeling that optimistic this would also be reflected in similar moves in credit card debt and short-term debit items.
GOLDMAN SACHS AUSTRALIA PTY LTD, JP MORGAN AUSTRALIA LIMITED, NOMURA AUSTRALIA LIMITED, RESERVE BANK OF AUSTRALIA