Australia Consumer House Price Sentiment Could Justify RBA Hold in Feb
By Sophia Rodrigues
Published On 22 Jan 2020 , 11:36 AMConsumer sentiment fell 1.8% to 93.4 in January from 95.1, the Westpac-Melbourne Institute Index of Consumer Sentiment showed. The fall was in response to the devastating bushfires and while the 1.8% drop was not as severe as one would have expected, Westpac points out this might be because the index was already at a low level.
More interesting in the survey were housing related sentiment, with "time to buy a dwelling" and "index of house price expectations", both rising sharply in January. Westpac said the boost in optimism this time has beem more "dramatic" than in previous cycles, and indicate the current period of positive price action is unlikely to end in the near term.
The question is whether the RBA will take comfort from this continuing impact of easy monetary policy on housing market, and make a case for hold in February?
LATEST SNIPPETS
AOFM doubles T-Notes issuance next week, as expected
As expected, the AOFM doubled the amount of T-Notes at tenders next week to A$2 billion from A$1 billion in the last...
Published on : 26 Feb 2021 , 12:10 PMRBA buying A$3B under yield target policy (as CB-Intel flagged)
The RBA has announced it will buy A$3 billion of the April 2023 and April 2024 government bonds under the yield targe...
Published on : 26 Feb 2021 , 11:38 AMAOFM may raise T-Notes tender next week
After reducing weekly T-Notes tenders to just A$1.0 billion (lowest since March last year) last two times, the AOFM m...
Published on : 26 Feb 2021 , 10:56 AMCould RBA surprise with bond-buying today?
All eyes on the RBA today for any announcement on bond purchases under the three-year yield target policy. Since Nove...
Published on : 26 Feb 2021 , 10:35 AMAustralia wage price index beat expectations as some wage reductions unwind
Australia's wage price index beat expectations with a 0.6% q/q and 1.4% y/y rise in December 2020 quarter, data p...
Published on : 24 Feb 2021 , 11:37 AMAOFM sells May 2032 bond at 1.69% weighted average yield
The AOFM sold A$2 billion of the 1.25% May 2032 government bond at weighted average issue yield of 1.6900%.&nbs...
Published on : 24 Feb 2021 , 11:20 AMAOFM's A$2B May 2032 tender result will be interesting
Looking ahead to the results of the AOFM's tender of A$2 billion of 1.25% May 20232 government bonds in about 15...
Published on : 24 Feb 2021 , 10:46 AMRBA buying A$1B of April 2024 under yield target policy
The RBA meets market expectation by announcing purchase of bonds under the three-year yield target policy, apart from...
Published on : 22 Feb 2021 , 11:34 AMRBA bond-buying announcement keenly awaited
Market looking forward to RBA's bond-buying announcement today for purchases under three-year yield target policy...
Published on : 22 Feb 2021 , 10:58 AMWestpac Evans sees Aussie 10-year yield at 1.9% end-2021
Westpac's chief economist Bill Evans has raised his forecast for US 10-year bond yield to 1.8% from 1.5% by the e...
Published on : 19 Feb 2021 , 04:28 PM