Reserve Bank governor Michele Bullock says the bank must walk a tightrope between taming inflation and preserving jobs,noting regional labour markets have been tighter than those in capital cities.
There’s been an “astonishing” increase in the number of administrators appointed to struggling firms,in a further sign the overall economy is struggling.
The bank board noted that getting inflation back to its 2-3 per cent target had been “slow and bumpy” as it confirmed the official cash rate would remain at 4.35 per cent.
The Australian sharemarket steadied its losses from its worst two-day sell-off since 2020,as the Reserve Bank held the cash rate steady.
Data for the two years since the RBA began increasing the cost of money shows a lot more evidence of downturn and pain than you may realise.
The investment chief of UniSuper says monetary policy has run its course,and inflicting more pain on squeezed households is not the answer.
Inflation figures this week have probably stopped the Reserve Bank from further interest rate rises,but the economy on Jim Chalmers’ watch is still struggling.
Muesli and milk was becoming a luxury as inflation soared. But there are good signs the nation’s inflation pressures are finally starting to abate.
New inflation figures show that despite a further rise in the cost of living,it is not climbing any faster than expected by the Reserve Bank.
Investors responded positively to the latest quarterly inflation figures,taking the local market back above 8000 points.
If the Bank of Japan ends up raising rates even as the US fed is contemplating a cut,it will unleash an unprecedented level of volatility in currency markets.