Australia is a ‘long way’ from the ‘golden moment wages rise again’

The Australian Financial Review's Matt Cranston says Australia is "a long way from that golden moment when we start to see wages build up again". Mr Cranston told Sky News “unemployment and the wage price index” would be watched “very carefully” after Holden and Jeans West received the axe in the past month. “Most of the economists think unemployment is going to move back up from 5.1 per cent to 5.2 per cent and that wages will show no growth at all,” he said. He said if the unemployment rate failed to “surprise” it would “put even more pressure on the RBA especially with things like coronavirus and bushfires" and you will "see interest rate pricing come forward a lot sooner”. Mr Cranston said buying into China now would be "risky" but analysts were “expecting the government to provide greater stimulus and really fire things up again to really create this boom back up in prices”. Image: Getty

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