A couple of responses to today's data
This via huge Australian fund manager AMP (Shane Oliver, Head of Investment Strategy & Chief Economist ):
- underlying inflation remained weak
- weak reading on trimmed mean inflation was in line with RBA expectations and may not be enough to get it over the line on a rate cut next week as the RBA may decide to wait a bit longer given last weeks lower than expected unemployment rate
- we remain of the view that the #RBA will cut to a low of 0.25% in the months ahead
RBC, meanwhile were looking for a rate cut in Q1, now forecast a cut at the end of Q2, in June
