Economics
Aussie Rally Faces Investment-Shift Challenge: Australia Credit
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The Australian dollar’s rally in the past month to be the developed world’s best-performing currency, driven by the Reserve Bank’s faith in the economy, will be put to the test by a survey of investment plans due out tomorrow.
Capital expenditure plans will probably fall 16 percent to A$139 billion ($125 billion) in the 12 months ending June 2015, from A$166 billion this fiscal year, a Bloomberg News survey of economists shows. The focus will be on the speed of the contraction in mining investment and the extent to which services industries can pick up the slack, according to Bank of America Merrill Lynch and TD Securities Inc.