Reserve Bank of Australia monetary policy meeting for May 2021 , minutes.
Headlines via Reuters :
- conditions for rate rise considered unlikely until 2024 at the earliest
- no rate rise until actual inflation sustainably in 2-3% target band
- board willing to extend bond buying if needed, no need to change yield target
- to decide in July whether to roll over to Nov 2024 bond, extend bond buying
- return to full employment a high priority for monetary policy
- policy to remain highly accommodative for some time yet
- monetary policy helping keep a$ in a narrow range despite rising commodity prices
- unemployment seen at 4.5% by mid-2023, to put only modest upward pressure on wages
- wage growth would need to be "sustainably" above 3% to meet inflation target
- public sector wage policies to restrain overall wage growth in economy
- inflation pressures subdued in most parts of economy, to increase only gradually
- important to maintain home lending standards amid rising house prices, strong demand
- few signs major miners planning to expand investment in iron ore output in response to price surge
- disruptions to global supply chains to be more persistent than realised, adding to inflation
more to come
full text: Minutes of the May 2021 Monetary Policy Meeting of the Reserve Bank Board
