Recap of RBA Bullock speech today … Sydney apartments financial stability risk
Michele Bullock is an Assistant Governor (Financial System) at the Reserve Bank of Australia, spoke earlier today
- More from RBA's Bullock - RBA encouraging banks not to tighten too much
- RBA's Bullock upbeat on household's ability to service debt
Bloomberg have a recap up, focusing on
- The apartment market in Australia's largest city is "quite soft" due to a sharp rise in supply that's increased risks to financial stability, a senior central bank official said.
- Our main concern with this from a financial stability perspective is the potential for this large influx of supply to exacerbate declines in housing prices and so adversely impact households' and developers' financial positions," Bullock said in Perth Wednesday. "Currently, the risks here appear to be elevated but contained."
Link is here for more. That 'risk is contained' comment pretty much characterises here remarks today … quite cautious.
Stability risk to bikes: