Philip Lowe, Reserve Bank of Australia Governor speech
- topic is: From Recovery to Expansion
- venue is the Australian Farm Institute Conference
Headlines via Reuters
- says premature to be considering ceasing bond purchases
- says bond-buying has lowered funding costs across economy, contributed to lower a$
- options include another a$100 bln programme, scaling back or spreading out purchases
- says on 3-year yield target, board has considered range of possible scenarios
- in some scenarios conditions for 2024 rate rise could be met, in others not
- central issue is the probability of cash rate increasing over 3-year window
- board wants to see recent recovery transition into strong and durable economic growth
- says economy still in recovery phase, some way to go yet
- says inflation pressures remain subdued and are likely to remain so
- says wages growth subdued as firms focus on curbing costs
- many firms relying on non-wage strategies to retain, attract staff
- whether households spend their built up savings a major uncertainty
- says watching build up of household debt, bank lending standards
- says recent pick-up in business investment is welcome, but fair way to go
Full text is here:From Recovery to Expansion
