RBA Governor Bullock: Don't expect to be back in 2-3% target range until end of 2025

Reserve Bank of Australia Governor Bullock, in a speech in her home town of Armidale, NSW:

• Vigilant to inflation risks, will not hesitate to hike if needed.
• Repeats, board judged current rates still meet its inflation mandate.
• Don't expect to be back in 2–3% target range until end of 2025.
• Won’t hesitate to raise cash rate if needed.
• Investment in renewable energy in regions should bring significant economic benefits.
• Renewables needed to mitigate the risks posed by climate change.
• Increasing volatility in weather, rising temperatures pose challenges for farmers.

Bullock was hawkish earlier in the week:

• RBA leaves cash rate unchanged at 4.35%, as expected
• RBA governor Bullock: Inflation progress has been slow for a year now
• RBA governor Bullock: A rate cut is not on the agenda in the near-term
• The response to the RBA meeting yesterday is a 25bp rate cut priced for December 2024