CHIEF economist of St. George Banking Group, Besa Deda likens the Australian economy to car facing changing traffic conditions ahead.
Housing construction and consumer spending are giving way to infrastructure investment, a lift in business spending and population growth as the fundamental drivers, while the softening in house prices could turn consumer spending into a key risk.
St. George believes the Reserve Bank will keep interest rates on hold for some time.
Wages growth will face ongoing pressures, although the labour market is in good shape.
Australian Property Journal