A preview of the monetary policy decision coming up from the Reserve Bank of Australia today … 0430GMT (headline fixed now)
The cash rate will remain on hold and I expect the statement will not move too much from prior.
I have posted a couple already:
- AUD traders - RBA meet Tuesday (statement 0130GMT) - preview
- Big week ahead for central banks in Australia and New Zealand
Later in the week:
- Governor Lowe speaks on Wednesday, topic is "Demographic Change and Recent Monetary Policy"
- The RBA publish its quarterly Statement on Monetary Policy (SoMP) on Friday
This via Westpac:
- The RBA is certain to keep the overnight cash rate unchanged at 1.5% at its August policy meeting. The Governor's decision statement is also likely to retain the key line that: "further progress in reducing unemployment and having inflation return to target is expected, although this progress is likely to be gradual".
- This month's decision will be followed by the release of updated commentary and forecasts with the RBA's Statement on Monetary Policy on Aug 10. We expect the Bank to retain its upbeat 3.25% growth forecasts for both 2018 and 2019. There will be more interest around the trajectory for inflation, with current forecasts only just nudging into the 2-3% target band by June 2020 but the August update extending that forecast horizon to December 2020.