RBA Governor Bullock Warns Policy Board May Raise Rates Again As Inflation Remains Above Target
RBA Governor Michele Bullock warned it remains unclear whether the central bank’s recent interest rate hikes will be enough to return inflation to target, stating the policy board is prepared to tighten further if inflationary pressures persist.
Bullock noted that underlying inflation has tracked the Reserve Bank’s baseline forecasts but remains elevated. She added that demand growth is slowing, the housing market has cooled more than projected, and the labour market may need to weaken further to help lower inflation. The central bank will evaluate the restrictiveness of current policy at its next meeting.
From the sources (25 posts)
@financialjuiceRBA Governor Bullock: economy has adjusted steadily and broadly as anticipated
@financialjuiceRBA Governor Bullock: Demand growth seems to be easing broadly as expected in May baseline forecasts
@financialjuiceRBA Governor Bullock: board prepared to increase cash rate further if necessary
@financialjuiceRBA Governor Bullock: some additional slowing in demand growth likely needed to reduce inflation
@financialjuiceRBA Governor Bullock: housing market has cooled more than expected
@financialjuiceRBA Governor Bullock: core inflation has developed as anticipated but remains too high
@financialjuiceRBA Governor Bullock: too soon to evaluate full economic impact of oil shock
@financialjuiceRBA Governor Bullock: additional easing in labor market likely needed
@firstsquawkRBA Governor Bullock: The main issue is whether the monetary tightening already implemented will be enough to bring inflation lower.
@firstsquawkRBA Governor Bullock: The Board remains willing to increase interest rates further if inflationary pressures do not ease as expected.
@firstsquawkRBA Governor Bullock: The labour market may need to weaken further to help restore balance and lower inflation.
@firstsquawkRBA Governor Bullock: Core inflation trends have developed broadly as expected but are still above desired levels.
@firstsquawkRBA Governor Bullock: The housing sector has cooled more significantly than the Bank had previously projected.
@firstsquawkRBA Governor Bullock: Growth in demand is showing signs of slowing in line with the Bank’s May economic outlook.
@financialjuiceUnderlying inflation has progressed as anticipated, but remains too elevated
@financialjuiceHousing market has slowed more than we anticipated
@businessAustralia’s central bank chief said it’s still unclear if this year’s interest-rate hikes are enough to return inflation to target or whether additional tightening will be needed.
@financialjuiceRBA Governor Bullock: Economy slowing, housing market cooling more than anticipated
@firstsquawkRBA Governor Bullock: Economy and Housing Market Slowing More Than Expected
@financialjuiceRBA Governor Bullock: inflation is largely in line with expectations
@firstsquawkBullock Says Australian Inflation Is Largely in Line With Forecasts
@financialjuiceRBA Governor Bullock: Uncertain about board decision at next meeting
@financialjuiceRBA Governor Bullock: board faces tough choices if inflation doesn’t ease
@firstsquawkReserve Bank of Australia Chief: No Clarity on Upcoming Policy Decision
@firstsquawkReserve Bank of Australia Chief: Policy Decision Hinges on Restrictiveness Assessment