Welcome to Sydney. As ever, the times remain ‘interesting’. You will have much to talk about. I will confine myself to some brief remarks, firstly about the global scene, and then about the situation in Australia. From this distance, the US economy appears to be healing. The ‘headwinds’ from the housing sector are lessening, corporations are in a strong financial position and the labour market is improving, albeit slowly. Much financial repair has been made. The new sources of abundant energy in the US will also act as a growth enhancer. The biggest remaining problems are how to put the US budget onto a sustainable ... (full story)