RBS Morgans’ Chief Economist, Michael Knox, discusses why he is optimistic about US growth, believing the US narrowly averted a double-dip recession in April.
Mr Knox explains why he believes there will be no more quantitative easing measures and what needs to be done to stimulate US growth.
Looking at Europe, Mr Knox offers reasons for his positive outlook but cautions that the region’s sovereign debt issues could slow the Australian growth rate.
In Australia, Mr Knox provides forecasts for domestic growth, unemployment and why he sees the Reserve Bank of Australia keeping rates on hold for the remainder of 2011.
Over the next six months, Mr Knox believes the S&P/ASX200 is poised to rise to 5220.
- Lelde Smits reporting.
