Comments from RBA Governor Glenn Stevens make for some interesting reading this morning

Comments from RBA Governor Glenn Stevens make for some interesting reading this morning. This particular summation stood out for me; When we look ahead, a key feature of the outlook, as everyone knows, is that the capital expenditure phase of the 'mining boom' is winding down, while the export phase is gearing up. The fall-off in investment spending by resources companies has a long way to go yet and will probably accelerate in the coming year... Forward indicators for non-mining business investment suggest a modest improvement over the coming year... Consumer spending, though soft in mid year, could be expected to grow in line with income.. But it seems unlikely that households will revert to their behaviour of a decade ago, when they were expanding their balance sheets quickly, saving much less of their incomes and increasing their consumption well ahead of the growth in incomes. (VIEW LINK)