Insight: RBA Unlikely to Keep Powder Dry, Nov Cut Likely

By Sophia Rodrigues

The Reserve Bank of Australia doesn’t believe in the “keep the powder dry” argument with regards to monetary policy, and would therefore be prepared to lower the cash rate if its updated forecasts fo...

16 Oct 2019, 07:05 AM
Analysis: Could RBA Prevent QE?

By Sophia Rodrigues

Could the Reserve Bank of Australia make a more clever use of forward guidance as an unconventional monetary policy tool (UMPT) to avoid using other forms of UMPT like quantitative easing?

In theory it could...

10 Oct 2019, 07:03 AM
Insight: RBA More Downbeat on Labor Market, Could Cut Again

By Sophia Rodrigues

A key factor in the Reserve Bank of Australia’s rate decision Tuesday was more downbeat outlook for the labor market, that meant the economy needed more stimulus via a cut in the cash rate.

The urgency...

01 Oct 2019, 06:58 AM
RBA cuts cash rate 25bps to a record low 0.75%

By Sophia Rodrigues

Key points from cash rate statement:
1. Forward-looking indicators of labour demand indicate that employment growth is likely to slow from its recent fast rate. 
2.  Economy still has spare cap...

01 Oct 2019, 06:56 AM
Analysis: One Reason Why the RBA will Cut Cash Rate Tuesday

By Sophia Rodrigues

Ahead of the Reserve Bank of Australia’s cash rate decision on Tuesday, market is pricing around 77% chance of a 25 basis points cut and majority of economists are also expecting a cut.

The key questio...

30 Sep 2019, 11:25 AM
Analysis: The Keyword in RBA Lowe’s Speech That Points To Rate Cu...

By Sophia Rodrigues

There was one word in the speech RBA Governor Philip Lowe delivered last night that clearly points to a cash rate cut next Tuesday and it is “marked.”

Lowe used the word twice in the speech when...

25 Sep 2019, 07:41 AM