Before RBA made its move on interest rate this afternoon, there were plenty of guesses, complain, opinions, and curses about the rate and economies. At last we have got 50 basis points and it is much better than anyone's expectation but at least not the former RBA governor, John Macfarlane, who urged the rate to be 50 basis or more. I did feel 50 basis was a right choice too before RBA meeting. The reason is RBA should not follow the market and media sentiment but trump the crowd and lead the market and media. 1. GFC has its ripples in EU, China, Australia, and everywhere, which damaged the economies except mining sectors. Nowhere seems really good. 2. China slowing down would take some time and when the high speed economy, mining, slow down, the further downward risks are very high. 3. If the fear could not be stalled on, a deteriorated self-fulfilled loop would have had chances to formed. Inflation rate and crying of other economies have provided enough room to shock the people's minds toward better economy movement. 4. Philosophically, 25 basis points were what market and economists expected, and this value could not let the people have too much hope. Sentiment low need high spurs if nothing out of control. So if RBA didn't want to seen mining would not go hot booming while others drop into the doorstep of heel. 5. If this 50 basis point is too much and force the economies, markets, and medias to get their hot head, RBA could push or pause the rate there. Anyway, the economy is not in over expanded stage, red hot, and inflation very benign. Good rate move even we don't know economics very much. If history repeatable, economy downward usually last much longer than people's expectation. RBA should led the fighting to hot red or white cold. *** Just feel funny to hear Wayne Swan said the government's efforts for surplus have made it possible. What for what? RBA did this due to its diligence and intelligence in my views. I just could not see the benefit the government spread the money in GFC national widely in GFC bust time, which could be spent much better. By the way news said Union's staffs have been paid by $300,000 at national level. Are they work for the workers or themselves? They get some very good jobs paid by the workers! These pig chiefs! They tend to say and do different. Audio news about these pig chiefs could be found by search words "Unions need uniform national probity." If no laws on them they would drink the bloods of the workers.