RBA Governor Bullock’s uncertainty on inflation and interest rates

Reserve Bank of Australia Governor Bullock is speaking as part of a panel on “Inflation, Financial Stability and Employment”.

Also on the panel are Bank of England Deputy Governor Ramsden and Bank of Spain´s governor / ECB monetary policy maker de Cos.

Bullock says the RBA has to be a little bit careful when using high interest rates to attack inflation without lifting the unemployment rate:

  • high employment is helping people to pay expensive mortgages
  • says Australia inflation path is similar to overseas
  • says again she expects inflation to decline to just under 3% in 2025
  • but notes uncertainty on inflation’s path

AUD is at its highest since August:

aud rba bullock inflation 28 November 2023

This article was written by Eamonn Sheridan at www.forexlive.com. Source