By Vivek Mishra
BENGALURU (Reuters) – Australian housing market activity won’t recover from the recent slowdown for at least a year as dwindling household incomes and soaring unemployment hammer demand, causing home prices to fall this year and next, a Reuters poll of analysts showed.
Now in its first recession in three decades, Australia’s economy is expected to recover slowly even though the spread of the coronavirus is largely under control and most businesses have reopened. Still, policymakers expect unemployment to rise to about 10% from 6.8% in August.
That forecast comes despite aggressive monetary policy easing from the Reserve Bank of Australia, which has so far chopped its key interest rate to an all-time low of 0.25% and launched a bond-buying campaign to hold market yields down.
The Sept. 16-28 poll