Watch You Tube Video Here Bernard Hickey details the key news overnight in 90 seconds at 9am in association with ASB, including news the Reserve Bank of Australia is widely expected to hike its Official Cash Rate by 25 bps to 2.5% later today as the Australian economy recovers relatively strongly, businesspectator reported. That would put the Australian rate well above the 2.5% OCR in New Zealand. The Australian Treasury upgraded its economic forecasts yesterday, FT.com reported. It now sees growth in the year to June 2010 of 1.5%, which is better than its previous forecast for a 0.5% fall. Australia's unemployment rate is also now expected to peak at 6.75%, not 8.5%. This may trigger a resumption of the brain drain across the Tasman, given New Zealand's unemployment rate is expected to peak at 7%. Meanwhile Wall St wobbled overnight after a Fed official warned the US banking system was not robust and faced big commercial real estate losses, Bloomberg reported. But Ford's profit rose and US factory output rose.
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