Coming up / preview - Minutes of May RBA Monetary Policy Meeting

Here is a quick preview of the Minutes of the May monetary policy meeting of the Reserve Bank of Australia

its via RBS:

• The RBA meeting minutes are unlikely to include significant new information this month
• The RBA's May decision was accompanied by the Statement on Monetary Policy, including new forecasts, meaning the RBA's conclusions on growth and inflation from the May meeting are well known

The Statement suggested a more optimistic outlook on the labour market

• But ... the forecasts in the SoMP were revised down. There is a conflict here.

"The key development will be a discussion of rate cuts in light of high leverage - we get the sense from recent speeches that the RBA is becoming less enthusiastic about the positive spillover of rate cuts because one of the channels - i.e. encouraging borrowing, is lessened."

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The Minutes are due at 0130GMT on 19 May 2015.