In recent months, growth in Australia’s major trading partners appears to have remained at around its long-term average rate. The pace of growth in China has increased a little through the year and is consistent with the Chinese Government’s target of 7½ per cent. The expansion in activity has been driven by domestic demand. In Japan, following the adoption of more expansionary fiscal and monetary policies late last year, the economy looks to have picked up further in the second half of this year. In the rest of east Asia, growth has continued at around its decade-average pace, while conditions remain fairly subdued ... (full story)