- RBA says banking system in strong shape, profitable, well capitalised
- No sign banks have loosened standard imprudently
- Pick-up in property market & home prices unsurprising given low interest rates
- Sustained low rates could fuel specualtion
- Household borrowing and saving behavior remains prudent, favourable for financial resilience
- Around half of households ahead on their mortgage payments, morgage buffers are high
- To watch property investment by self-managed super funds, but poses little risk to financial system
AUD/USD takes a look, goes back to sleep.
