Uh-oh. Reserve Bank of Australia policy board member Professor Ian Harper doing the currency jawbone thing wrong.
- Currency gains being driven by weaker US dollar
- Economic growth too weak to justify rate hike
- Property lending curbs working
More weak efforts on talking the currency down from the RBA, but at least its something. And the no rate hikes 'cause of weak economy is a good effort, brownie points for that one.
AUD/USD off a few points.
- Full time employment growth storng
- unemployment is slowly coming down
- under employment is not moving much (cites excess capacity)
- economy operating below its potential
- "As well as we're doing, the Australian economy is still operating below its potential. So long as that is the case, why would anyone be suggesting tightening monetary policy when the economy is operating below potential? I mean hello?"
via Bloomberg Harper interview