Expects infrastructure investment spending surge to continue for a while

  • Says still a risk that wages growth stays low for longer
  • Says if interest rates were materially higher households would have trouble servicing their debt
  • We are well aware of that, doesn't see a shock that would force rate rises
  • Rate hike likely to come from good economic data

ps. Read these comments from Debelle as general comments - there is no imminent hike nor cut coming from the Bank

AUD is not moving too much on them pretty much for this reason

more:

  • Some pockets of economy showing signs of wage pressure
  • Still a risk wages stay lower for longer
  • macro prudential measures have bolstered financial system

--

Earlier from Debelle: