Reserve Bank of Australia Governor Lowe is appearing in parliament again today.
He did so earlier this week also.
I've been posting on his long, long testimony:
- RBA Gov Lowe says high inflation is damaging, corrosive. Will do what is necessary.
- RBA Gov Lowe says rate rises in Australia are not over
- RBA Gov Lowe says that if saw another weak job report might reconsider tight labour market
And, he has more. He is saying over and over that there are further rate hikes to come.
- it takes 18-24 months for rate hikes to be felt in the economy and the effects of this tightening cycle will be felt well into 2024
- rates are not on a predetermined path.
- we have an open mind but our assessment is we have to go higher on rates
- if we need to slow down on rates, we will
- Australia has the largest post-Covid pool of excess savings
- Significant fiscal tightening would have an influence on rates
