As far as prices are concerned, we will get another comprehensive round of data in late July. Fiscal policy is also playing a significant role. The “fiscal impact”, calculated as the shift in the Federal budget position from one year to the next, is forecast to be minus 2 per cent of GDP in the 2011/12 fiscal year.
•  Credit rating agencies: Rating methodologies failed to capture risks embodied in structured products and investors relied too heavily on those external ratings. Rating agencies should enhance their transparency and should comply with relevant codes of conduct. More differentiated rating systems for structured products should be adopted.