Banks could increase the flow of credit to businesses later this year, but only if consumer spending picks up first, according to Westpac’s CEO.
Speaking to international investors, Gail Kelly said that she believed business credit would rebound in the second half of the year, although this is reliant on a hike in consumer spending. Ralph Norris, chief executive of CBA, told the same conference that overall demand for credit was down and he didn’t expect it to recover to pre-GFC levels.
China set to overtake US by 2030
China is set to surge past the US and dominate global trade by 2030, a leading accountancy firm has predicted.
A report by PricewaterhouseCoopers said that a “fundamental change” is set to hit world markets, with China’s annual 8% economic growth set to see it become twice the size of the US economy in 20 years’ time.
Jobs forced to answer lawsuit questions
Steve Jobs, CEO of Apple, has been ordered to answer questions from lawyers over its alleged monopoly in the digital music downloads space.
A group of consumers has launched a class action lawsuit claiming that Apple, through its iTunes and iPod innovations, has created a monopoly that marginalises other providers.
Overnight
The Dow Jones industrial average rose 74.47 points to 12,160.49. The Australian dollar soared to a near-record 102.24 US cents.
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