A shaky few months have seen many would-be home buyers and investors sitting on the sidelines, waiting patiently for some economic certainty to arrive.
Thankfully, July is shaping up to be a positive month, with some early signs of economic stability starting to emerge.
The Reserve Bank of Australia (RBA) left the official cash rate on hold at 3.50 per cent earlier this month after rate reductions in May and then June saw the cash rate cut by a significant 0.75 basis points.
While the RBA appears to be erring on the side of caution, the decision to keep rates on hold can be seen as an early indicator of a stabilising economy.
Speaking about the decision, Reserve Bank governor Glenn Stevens said recent data suggest that despite widespread media concerns, the Australian economy has performed relatively well in the first part of 2012.
“In Australia, recent data suggest that the economy continued to grow in the first part of 2012, at a pace somewhat stronger than had been earlier indicated,” Mr Stevens said.