Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  Equities  >  AUSTRALIAN SECURITIES EXCHANGE LIMITED  >  Australia and New Zealand Banking Group    ANZ   AU000000ANZ3

SummaryQuotesChartsNewsAnalysisCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsSector newsTweets 

Australia and New Zealand Banking Group : ANZ Says More Rate Cuts Won't Help Economy

share with twitter share with LinkedIn share with facebook
share via e-mail
0
04/30/2013 | 04:55am CEST

MELBOURNE--Further rate cuts from Australia's central bank won't do much to stimulate growth in the resource-rich economy, the head of the country's third-largest lender by market value said Tuesday.

Mike Smith, the Chief Executive of Australia & New Zealand Banking Group Ltd. (ANZ.AU) said there was "no doubt" a yearlong rate-cutting campaign has helped growth. But he added that a decisive outcome at September's federal election would do more to stimulate Australia's economy than further rate cuts, by encouraging businesses to invest.

"The big issue is one of confidence, of business confidence," Mr. Smith told The Wall Street Journal in an interview. "A decisive win would help. People, at the end of the day, like to know where they stand."

Australia was one of a handful of developed countries to avoid recession during the global financial crisis, shielded by booming demand for its resources exports from Asia. But weakening company earnings have left the ruling Labor party facing a 12 billion Australian dollar (US$12.24 billion) shortfall in revenue this year, which some economists forecast could result in a budget deficit of as much as A$25 billion.

The main opposition Liberal-National coalition, which recent voter polls have indicated will take power at a general election in September, has pledged spending cuts to help reduce the deficit.

Mr. Smith backed the need for a reduction in government spending but said it must be accompanied by measures such as tax cuts to help boost growth.

"I don't believe austerity on its own works," he said. "You've got to have austerity with measures that actually help stimulate."

The Reserve Bank of Australia left its official cash rate at a near-record-low 3% this month, saying it sees signs of expansion in the economy. Interest rates have been cut six times since late 2011 as the RBA has tried to stoke growth in parts of the economy such as retail and manufacturing that have been hit by weak consumer spending and a strong Australian dollar.

Some economists expect the RBA to cut its benchmark rate by another quarter of a percentage point in May in the face of rising unemployment and recent volatility in commodity prices.

Write to Caroline Henshaw at [email protected]

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on AUSTRALIA AND NEW ZEALAND
04/21 AUSTRALIA AND NEW ZEALAND BANKING : Redemption of ANZ Subordinated Notes (ANZHA)
04/21DJSHINHAN FINANCIAL : ANZ Selling Vietnam Retail Business to Shinhan Financial
04/19 AUSTRALIA AND NEW ZEALAND BANKING : ANZ commits to implementing Sedgwick review ..
04/13 AUSTRALIA AND NEW ZEALAND BANKING : Notice Corporations Act Subsection 259C(2)
04/03 GLOBAL WATERPROOF POWER SUPPLY MARKE : Salcomp, Mean Well, Phihong, FSP Group, C..
04/02 AUSTRALIA AND NEW ZEALAND BANKING : ANZ to improve convenience and security on m..
04/02 Ethical investment tide lifts 'greenwash' concerns
03/31 AUSTRALIA AND NEW ZEALAND BANKING : Notice Corporations Act Subsection 259C(2)
03/31 AUSTRALIA AND NEW ZEALAND BANKING : Becoming a substantial holder
03/30DJAUSTRALIA AND NEW ZEALAND BANKING : Banking Watchdog Targets Investors with Toug..
More news
Sector news : Commercial Banks
04/22DJWELLS FARGO : Big Holders Target Wells -- WSJ
04/22DJWELLS FARGO : New York City Pension Funds to Vote Against 10 of 15 Wells Fargo D..
04/22 WELLS FARGO : Two big California pension systems oppose nine Wells Fargo directo..
04/22 WELLS FARGO : Two big California pension systems oppose nine Wells Fargo directo..
04/21DJWELLS FARGO : New York City Pension Funds to Vote Against 10 of 15 Wells Fargo D..
More sector news : Commercial Banks
News from SeekingAlpha
02/12 The Big Aussie Short And Why Caution Is A Great Strategy
01/18 The Banks Bull Market Has Created Many Short Opportunities In Asia
2016 A Look At ANZ Banking Group And Its Dividend
2016 Australia & New Zealand Banking Group's (ANZBY) CEO Shayne Elliott on Q4 2016..
2016 ANZ : A Sophisticated Short
Advertisement
Financials ( AUD)
Sales 2017 21 327 M
EBIT 2017 11 022 M
Net income 2017 7 410 M
Debt 2017 -
Yield 2017 5,08%
P/E ratio 2017 13,37
P/E ratio 2018 13,11
Capi. / Sales 2017 4,38x
Capi. / Sales 2018 4,38x
Capitalization 93 395 M
More Financials
Chart AUSTRALIA AND NEW ZEALAND
Duration : Period :
Australia and New Zealand  Technical Analysis Chart | ANZ | AU000000ANZ3 | 4-Traders
Full-screen chart
Technical analysis trends AUSTRALIA AND NEW...
Short TermMid-TermLong Term
TrendsNeutralBullishBullish
Technical analysis
Income Statement Evolution
More Financials
Consensus
Sell
Buy
Mean consensus HOLD
Number of Analysts 15
Average target price 30,9  AUD
Spread / Average Target -3,0%
Consensus details
EPS Revisions
More Estimates Revisions
Managers
NameTitle
Shayne Cary Elliott Chief Executive Officer & Executive Director
David M. Gonski Chairman
Michelle Jablko Chief Financial Officer
Hsien Yang Lee Independent Non-Executive Director
Paula Jane Dwyer Independent Non-Executive Director
More about the company
Sector and Competitors
1st jan.Capitalization (M$)
AUSTRALIA AND NEW ZEAL..4.57%70 413
HSBC HOLDINGS PLC-5.01%160 237
AGRICULTURAL BANK OF C..6.13%154 356
JAPAN POST BANK CO LTD-2.85%56 160
SHANGHAI PUDONG DEVELO..-7.16%47 260
CHINA CITIC BANK CORPO..-2.65%40 373
More Results