New Government

[MrsWaldo]

Yep.. It's time

 

but not for that party ;)

 

Tonight the Liberals will take power and this will obviously affect things like exchange rate etc over the next few weeks.

 

If as promised we are more financially stable then the $ will do the same

[Sweet on the sea]

The dollar has only just started to drop the last few months, we were on parity for a while. The Liberal party aren't going to miraculously bring the dollar back up. The dollar is affected by overseas markets and other factors.

[MrsWaldo]

Of course it's only one factor. (and as i said for a few weeks)

 

It will cause a little blip in exchange rates as investors wait and see what direction and policies start to be affected and changed.

[The_Big_M]

Except given the Liberal budget virtually mirrored the Labor one, which would be the most relevant item to the exchange rate (although a very small influence), there's going to be no real change from that. Our financial state, and interest rate situation are not impacted by the changed policies.

 

We weren't financially unstable before - and in fact won international plaudits for our economic situation.

 

Nor will be more financially stable in the future from this change, as shown by the Liberal mirroring our budgetary situation - despite lying about it being a crisis before. Or if they still think it's a crisis than they're ineffectual at dealing with it.

[dizzy1948]

At least we are RUDD er less :rolleyes:;) (I know - bad joke - but it's ABBOTT as bad as it gets) :eek:

 

I need a holiday :p

[MrsWaldo]

Roflmao

 

Many will be face Palm (er) ing

[Keith1010]

What impact will this have on exchange rates?

 

Keith

[MrsWaldo]

According to my UBS analyst friend for the next week or so they will go into a holding pattern

 

Possibly even longer as the Senate is in limbo

 

Once they analyse all data and see how China reacts we will go into free fall or remain stable until june

 

the Chinese investment is often hidden and you need to search into the property market (oh and look at chines concrete consumption)

 

But my UBS friend isn't all that highly regarded ;)

[Keith1010]

Thank you for your thoughts and obviously your friend may be right or may be wrong.

 

If only you had a "Crystal Ball".

 

Keith

[The_Big_M]

hehe :-)

[MrsWaldo]

http://www.abc.net.au/news/2013-09-10/post-election-optimism-continues-as-market-rises/4949260

 

;)

[Aloha 1]

If you'll tolerate an opinion from the States, the ratio between the USD and the AUD has dropped from $1.11 to $1.08 in the last 2 days. I also note the Aussie market has had positive results in the same time frame. Perhaps post election euphoria but a cautionary note in the Wall Street Journal today suggests that the fringe seats in your upper chamber may hold the key to Abbott getting anything real done. My opinion would be to watch that issue as that may very well determine where the exchange rate goes. Regardless, looking from across the ditch, I wish you the best. Things political change but life goes on.

[Jacs]

Even if the senate gets finalized now, the new structure won't come into effect until July next year, as the senate serving period differs to the lower house.

[Aloha 1]

Even if the senate gets finalized now, the new structure won't come into effect until July next year, as the senate serving period differs to the lower house.

 

Was not aware of that point. Thanks. So, what does that mean for the balance of power for Abbott until then?

[The_Big_M]

He holds a minority in the current Senate as well, so is not able to push anything through unless he can negotiate support. However, he doesn't have a good track record in negotiating.

 

He was threatening to hold another election for everyone if he couldn't get his policies through.

[Jacs]

The Greens party and Independants hold the balance of power at the moment, so he'll find it pretty difficult even now. Labor and the greens have used the guillotine motion a record amount of times recently, which is pretty much just shutting down all discussion on a bill right away as they won't bother considering it. Same will happen now with any policy they dislike. At least with the new senate it may encourage a bit more discussion before it gets shut down.

 

He's threatened double dissolution in the past, could be a good move as people may reconsider their previous senate vote, but could backfire spectacularly on him because people would be angry about another blood election!

[MMDown Under]

Threat of a double dissolution is just that, a threat.

 

It won't happen, because the political risks to the Government are too high. Australian voters would voice their displeasure, at the high cost of another election, at the ballot box. Especially when the reason for calling another election would be political, on a matter that isn't high priority for the majority of the population, contrary to what political parties would like us to believe.

 

Despite the Government stating that it has a mandate for "this" and "that", people vote for political parties for a wide variety of reasons (including voting the existing government out, voting on state matters in a federal election, etc.).

[MrsWaldo]

Looks like OS investors liked what they saw..

 

we hit .95 today

 

 

time to gamble for me with a trip needing US $ coming up

[MrsWaldo]

Ok as mentioned on other thread... should talk to my UBS friend before I get too excited

[The_Big_M]

Looks like OS investors liked what they saw..

 

we hit .95 today

 

The rise in the AUD was because overseas investors realised there'd continue to be more USD flooding the market for some time...

[MrsWaldo]

The rise in the AUD was because overseas investors realised there'd continue to be more USD flooding the market for some time...

 

Did you read my subsequent post ;)

 

I just got excited and had just walked in the door.. :)