0053 GMT [Dow Jones] Australian economy to be in midst of full-blown recession by this time next year, says CLSA; tips 0.5% contraction in 2006 GDP which will "bring an abrupt end to what will have been 14 straight years of economic expansion." Weaker China demand, resulting fall in commodity prices, exports will send growth into negative territory; knock-on effects for consumer, business confidence "will be too severe for the domestic economy to withstand, especially given current excesses in the construction and household sectors." AUD/USD headed for 0.55 end-2006, RBA to move to easing tack, cut cash rate to 5% by end-year.(RXM)
