The two big events for Australian markets next week are the Reserve Bank of Australia July meeting minutes on Tuesday
- Followed by the June employment report on Thursday
For the Minutes, the back to back rate cuts (June and July) have taken the sting out of examining these too closely. Its a near certainty there will be no move from the Bank at the next two meeting at least. But, the Bank has told us they are watching developments in the labour markets. And they continue to tell us this, which brings us to Thursday, when we get the …
Employment report for June
- most leading indicators are softening and a slowdown in jobs growth is likely
- in this particular report we'll also get a negative impact from the unwinding of temporary jobs for the election in May
- The RBA is looking for the unemployment rate to move to (or towards) 4.5%. Of course it won't be anything like that on Thursday (5%+), but if it rises it'll increase the odds of another rate cut this year.
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ps. The following week we'll get speeches from Christopher Kent, Assistant Governor and from Philip Lowe, Governor.
