RBA’s Bullock says as of now Board doesn’t expect to cut rates in near term

Reserve Bank of Australia Governor Bullock addressing The Anika Foundation, Sydney on “The Costs of High Inflation”.

  • It is premature to be thinking about rate cuts.
  • As of now, the board does not expect to be in a position to cut rates in the near term.
  • Our highest priority has been and remains to bring inflation down.
  • The board remains vigilant to upside risks to inflation.
  • Our full employment goal is not served by letting inflation stay above target indefinitely.
  • There is substantial uncertainty around the central outlook, with risks on both sides.
  • If circumstances change, the board will respond accordingly.
  • The labour market remains relatively tight and is expected to ease gradually.
  • Labour cost growth is strong, reflecting wage increases and weak productivity.
  • The key drivers of elevated inflation are housing costs and market services.
  • CPI rents inflation is likely to remain high for some time.

The full text is here:

Later, at 7 pm Sydney time Bullock will speak in a Fireside Chat (pre-recorded) at the Women in Banking & Finance Awards

  • 0900 GMT, 0500 US Eastern time

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