Australia's $700 billion term deposit market is dying. By ASICs reckoning, three years back, there was over $700bn in term deposits alone in this country,...

Australia's $700 billion term deposit market is dying. By ASICs reckoning, three years back, there was over $700bn in term deposits alone in this country, representing just under 40% of the total pool of deposits. That total pool, which is worth more than 1 year of the countries GDP (and enough to buy every ounce of gold mined globally for the next 15 odd years at todays price incidentally), is dying - as record low interest rates and higher (though not yet high) inflation eat away at its real value. And make no mistake - the trend is only likely to worsen, with a cash rate that might hit 2% by 2015, and inflation that could well pick up, especially if the RBA gets its wish and the AUD hits the low 80s Will this trend support equities and property - you bet. But it will help gold more more details here (VIEW LINK)