OldLimey

Three Aussie Banks with 10%+ Yields

Australia is only just beginning to emerge from denial. The government has been clinging tight to the delusion that a recession can be avoided. Big potholes ahead are the annual price talks with China (northern spring), the 08/09 FY reporting season (northern summer), and a likelihood of rising commercial and residential real estate defaults as unemployment rises and prices adjust down. (A recent global survey found several Australian real estate markets still amongst the world's most 'unaffordable', defined as median price more than five times above median family income.) The ASX has further to fall, and it's doubtful the banks will escape.