New homes starts in Australia hit a six-year high last quarter thanks to stimulus spending on public housing. In all, home starts were almost 35 percent higher than in the first quarter of 2009, the fastest annual pace in eight years. Approvals to build new homes surged 43 percent between May and December last year, leaving a big pipeline of construction still to come. Growth in approvals has leveled off in the past few months but they still remain 37 percent above last year's low. Yet analysts still allege that far fewer homes are being built than needed to meet demand. We shall see. Join discussion...

“House prices have risen by nearly 25 percent over the past two years. Although speculative activity has increased in some areas, at a national level these price increases largely reflect strong economic fundamentals, including robust growth in jobs and incomes, low mortgage rates, steady rates of household formation, and factors that limit the expansion of housing supply in some areas." - Current Chairman of the Federal Reserve, Ben Bernanke, 2005 Join discussion...

More upward pressure on price inflation on essentials. Join discussion...

Would China still defy expectations this year and continue its rebound? Join discussion...

Well said! "THE world is heading for another round of tough times and investors are being "conned" about it, ABC chairman Maurice Newman has warned." Join discussion...

More QE ahead Join discussion...

One former influential Chinese economic advisor to the PBOC advocated gold. China investing its currency reserves in gold. Join discussion...

This paragraph says, "But plenty of market economists tip that both headline and underlying prices growth will remain above 3 per cent. That would threaten to dislodge the central bank's grip on its low inflation anchor just as the renewed mining investment boom is taking off and labour shortages are re-emerging. The problem is not in our shopping malls, where consumer spending is soft and retail discounting and a firm dollar are dampening imported inflation. Instead, the heat is coming from the new domestic chokepoints of urban infrastructure, basic services and housing." In other words, discretionary consumer goods will likely face price deflation whereas prices for basic services, housing will face price inflation. Join discussion...

"North Korea said on Saturday it would begin a "sacred war" against the United States and South Korea at "any time necessary" based on its nuclear deterrent, in response to "reckless" military exercises by the allies." (what ever that actually means) Join discussion...

$2000 for any pre 1995 car traded in for a more fuel efficient one. Should be look to the USA to see what else we will copy? Join discussion...