ECONOMY

Australian banks have been shaving off their headline mortgage rates and some are even tossing cash bonuses in spirited efforts to lure more banking customers to sign up but analysts are doubtful that the trend will be sustained in light of the global economic uncertainties.

Forecasts from observers worldwide say that Greece may possibly fail to overcome a deficit target that was agreed upon months ago in a huge rescue package indicating that desperate measures to preclude bankruptcy is not sufficient.

Retailers welcomed the second rise in retail figures in two months but many are still worried about Christmas sales.

The U.S. House of Representatives should take on a dependable strategy for downgrading disproportions and ambiguities in the corporate tax system and resolve mounting federal debt to spur economic recovery.

The Organisation for Economic Co-operation and Development (OECD) and the International Energy Agency (IEA) has called on governments to phase out subsidies on production and consumption of fossil fuels as subsidies paid by governments and taxpayers reached about half a trillion US dollars last year.

Moderate gains were achieved in the manufacturing and construction sectors in the U.S. notwithstanding the persistent problems in unemployment and the rising concern regarding the ongoing debt crisis in Europe.

Stall owners at local markets are facing twin challenges today, that of a thinning market and skyrocketing rent. Traders agree to find ways to attract local shoppers back.

Seasonal spikes on three major consumer goods led to more than two percent surge in inflation over the past three quarters, according to the latest inflation measures released on Monday by the TD Securities-Melbourne Institute.

The inflation report on Monday showed a decline in prices of fruits and vegetables which dropped by 5.6 percent last month after a decrease of 1.6 percent in August.

Big labor groups in Greece are up against the proposal of Prime Minister George Papandreou's government to place some 30,000 state workers in a special labor reserve force with lower wages as part of its austerity measures to reduce the nation's budget deficit.

Australia's population reached 22,546,300 people at the end of March 2011, growing by 312,400 people over the year.

The Australian and New Zealand dollars dropped against their Japanese and U.S. counterparts as fears that the global economy woes may worsen.

Unlike its American counterpart, the Australian economy has been characterised by fiscal policies that fostered resiliency and stability, which according to Standards and Poor’s, led to an overall healthy financial environment in the country, notwithstanding the presence of global pressures.

Political opponents of U.S. President Barack Obama have expressed serious doubts about the Federal Reserve's bold move to pump up the country's floundering economy with its latest plan to trade short-term for long-term bonds.

U.S. retail firms prefer to remain conservative about revenue projections for the forthcoming holiday season but see reasonable sales even as shoppers are quite wary about excessive spending due to the prolonged economic downturn.

Australian households are rationalising their expenditures, prioritising essential services and doing without goods, leading to what a central bank official called "very subdued trading conditions in many parts of the retail sector."

The International Monetary Fund (IMF) predicts a not-so-rosy prospect for the global economy by the end of the current year, a trend that the lending institution said would only be sustained until the closing months of 2012.

Amid uncertainty about the economic outlook for some major OECD countries, Australia forecasts agricultural export earnings to rise in 2011-12.

Some 1,000 people marched towards the financial district of New York City on Saturday to protest what they call a financial system that favors the rich but state police prevented them from coming near the New York Stock Exchange and from taking over the iconic Wall Street Bull statue.

Australian consumers have regained their positive outlook in the present month, thanks much to the steady cash rate benchmark being implemented by the central bank in the past quarters plus the economic recovery posted at the close of the first half of the current year.

The NAB's latest survey of monthly business confidence and conditions produced the expected outcome: confidence crashed, while business conditions hardly moved.

Australia is expecting generally favourable winter growing conditions to lead to a large 2011-12 national winter crop.

Chinese students learn English through Li Yang's Crazy English course, one-of-a-kind program where students shout the English sentences on a roof top, instead of writing them.

More evidence yesterday that the economy isn't a straitjacket or under pressure.

It's been a week where the contrasts between the weak economies of Europe and the US have again been underlined (to Australia's benefit) by confidence-sapping financial problems.

Australia is pushing for a comprehensive reform package to the Australian shipping industry to allow it to be more internationally competitive, according to Infrastructure Minister Anthony Albanese.

The Reserve Bank of Australia could cut its key interest rate after the unexpected soft employment data release today, according to economists.

Queensland is seeking private sector support to invest in two major projects that would further boost the coal industry, according to Premier and Minister for Reconstruction Anna Bligh.

A lot of Australian workers are being forced to work longer hours without corresponding compensation, a new survey reveals.