Glenn Stevens, Governor of the Reserve Bank of Australia (RBA), speaking to the Committee for Economic Development of Australia (CEDA) Luncheon.

Reserve Bank of Australia (RBA) Stevens:

  • Says policy must avoid build up of financial sector risk
  • Best thing RBA can do for economy is to run an accommodative policy and rates are very low
  • Says has made clear his views on relatively high a$, won’t repeat them
  • Says unemployment rate is “concerning”, though clouded by data distortions
  • Labour market has degree of spare capacity, some time before unemployment falls
  • Is taking GDP for Q1 and Q2 together, points to moderate growth
  • Says signs are growth continuing in current quarter
  • Says data show further upgrading of non-mining investment, like to see more
  • Says business balance sheets healthy, well placed to increase investment

Full text is here: The Economic Scene

More:

  • Further inflating already elevated house prices unwise
  • Real question is why the US remained as low as it has