Reserve Bank of Australia August meeting minutes
- Judged steady policy consistent with growth and inflation targets at aug meeting
- Needed to balance risks from high household debt in a low-inflation environment
- Says house prices, household debt warranted "careful monitoring"
- Some easing of house prices in Sydney, Melbourne but mortgage credit still outpacing income growth
- GDP growth likely picked up in Q2, economy seen growing around 3 pct for 2018 and 2019
- A$ had risen amid broad-based decline in the u.s. dollar
- Further rise in A$ could lead to slower growth, lower inflation
- Recent strong employment, hike in minimum wage could support incomes and spending
- But expectations of low wage growth, high debt levels might weigh on spending
- Electricity prices expected to rise sharply in Q3, add to CPI and business costs
- ABS (Australian Bureau of Statistics) re-weighting of CPI in Q4 likely to lead to lower reported inflation
- Public infrastructure investment had risen to highest share of GDP since 1980's
- RBA board noted improvement in global economy, particularly in China and Euro area
Quick Headlines via Reuters, but the full text is here: Minutes of the August 2017 Monetary Policy Meeting of the Reserve Bank Board
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I noted in the preview (posted earlier) that since the meeting we had the SoMP and speeches from Lowe and others - there is nothing to surprise here in the minutes.
