Australian recession Q&A

Key points:

– The risk of recession globally and in Australia has increased with ongoing central bank rate hikes.

– Signs of faster wages growth has seen the RBA turn more hawkish. The risk of recession here is now around 50%.

– Recession would mean higher unemployment, less job security & a likely further leg down in shares & home prices.

– By Feb we may need a Taylor Swift lift to help “shake it off”!

– Share market volatility is bad news but the best approach for most investors is to stick to a long-term strategy.