The Reserve Bank of Australia announces its monetary policy decision - 3 July 2018
- Prior decision 1.50%
- Low rates are supporting the economy
- Steady policy consistent with growth, inflation targets
- Business conditions are positive
- Inflation likely to remain slow for some time
- CPI inflation expected to be a bit above 2% in 2018
- Housing markets have slowed in Sydney, Melbourne
- Household consumption remains a source of uncertainty
- Household income has been growing slowly and debt levels are high
- Wage growth remains low, likely to continue for a while
- Rate of wages growth appears to have troughed
- AUD remains in range of past couple of years
- AUD has fallen a little
Pretty much similar to its June statement, the language on the key issues remain the same and I don't see any major changes from the statement at first glance. AUD is literally unphased by the decision/statement, and rightfully so. A non-event once again.
This just reaffirms the fact that there is still quite some time to go before the RBA decides to change the cash rate, and it sure won't be in 2018.
