The author has been described by News Ltd as an "iconoclast", "Svengali", a pollie's "economist muse", and "pungently accurate". Fairfax says he is a "Renaissance man" and "one of Australia’s most respected analysts." Stephen Koukoulas concludes that he is "85% right", and "would make a great Opposition leader." Terry McCrann claims the author thinks "‘nuance’ is a trendy village in the south of France", but can be "scintillating" when he thinks "clearly". The ACTU reckons he’s "an enigma wrapped in a Bloomberg terminal, wrapped in some apparently well-honed abs."

Saturday, September 4, 2010

Bill Evans expects another 75 basis points worth of hikes--and that is dovish

But for some reason the futures market, which until a few days ago was pricing in rate cuts, is still projecting that the cash rate will remain largely unchanged for the next 12-24mths. Bill's three rate hike scenario is actually a little dovish compared to his peers. In Bill's words:

"At present we are expecting rates to rise by 75 basis points during 2011. Markets will need to adjust a long way to accommodate that view."