Disleveraging and retail – macrobusiness.com.au | macrobusiness.com.au

We’ve long established the link between [Australian] house prices and retail sales, but here is a pretty clear illustration of the link between mortgage creation and sales.

This stands as a stark warning to anyone expecting a bounce in retail sales so long as disleveraging continues. Let alone actual deleveraging.

via Disleveraging and retail – macrobusiness.com.au | macrobusiness.com.au.