freefall coming, page-68

Rob - We still have as strong market, but your right - it is beginning to look a little sick (50 default morgages in WA just last month). But, it is only the recent borrowers that maybe losing money on the house through a decrease in value (last finacial year still growth in housing over most states) Banks are still ahead in most cases on capital growth. They are being a hell of careful with leading at the moment.

I believe that interest rates should be increased or held steady - not decreased.

We do have a couple of things in our favour:

- Mining (Still going OK - but juniors beginning to cut back on exploration?)
- Employment steady
- Immigration - does not sound like much, but it does keep the population growing & hold house prices reasonable steady.

Again - I think Australia will be held in high regard over this unsteady period - this will be the making of Australia in the financial markets across the world.