Cash rate to remain at 1.5% Broad-based pick-up in global economy continuing; labour markets tightening in many countries; forecasts for global growth have been revised up wards from last year. China: while growth is being supported by increased spending on infrastructure and property construction, high levels of debt continue to present a medium-term risk…… Continue reading July Monetary Policy Decision
https://www.rba.gov.au/publications/bulletin/2015/jun/pdf/bu-0615-2.pdf stronger growth in labour productivity has worked to contain growth in labour costs Declining wage growth reflects spare capacity in the labour market, a decline in inflation expectations, a lower terms of trade, and the need for the real exchange rate to adjust to improve international competitiveness. Decline in ToT and fall in mining…… Continue reading Why Is Wage Growth So Low?
http://www.rba.gov.au/monetary-policy/rba-board-minutes/2017/2017-04-04.html International economic conditions Global economic conditions have improved over 2017 Growth in industrial production has increased Business conditions in manufacturing and services sectors at high levels Significant increase in the growth of global merchandise trade volumes, driven by stronger demand from east Asia and the US Merchandise imports to some emerging markets has stopped…… Continue reading Summary of the April RBA monetary policy meeting
http://www.rba.gov.au/media-releases/2017/mr-17-07.html The RBA left the cash rate at 1.5% at its April meeting, due to the following reasons: Conditions in the global economy have improved, with both global trade and industrial production picking up. Growth in China, our largest trading partner, is being supported by higher spending on infrastructure and property spending – however medium…… Continue reading 2017 April- RBA leaves cash rate unchanged at 1.5%