The RBA cut 25bps to 1% on 2 July, delivering a rare back-to-back easing. They didn’t, however, drop the sort of hint that would suggest another cut in August.
The RBA’s realisation that the NAIRU is a bit lower is a case of better late than never. The data shows that the relationship has been getting flatter at a lower level of inflation for some time.
RBA Gov Lowe delivered a speech that was widely interpreted as locking in a 25bps rate cut in June. The
The April employment report revealed a slackening of the labour market — and is probably enough to get a 25bps
The Australian Q1’19 Wage Price index again printed at 0.5%q/q (2.3%y/y). This is the 11th print in the ~0.5%q/q ballpark
I must admit to being a bit stunned by the RBA’s May SOMP. There were a number of elements that
Against my expectations, the RBA left their policy rate at 1.5% today. My main lesson from all this is that