RBA recap, economic boom with very little inflation

It has been a big week for the RBA with the May Board meeting and the Statement on Monetary Policy. The RBA will decide on its 3-year yield target and the third round of bond purchases in July. In the meantime the RBA significantly upgraded their assessment of the Australian economic outlook, yet forecasts of inflation and wages growth remain low. Gareth Aird, Head of Australian Economics and Belinda Allen, Senior Economist discuss the forecasts and what it means for the RBA’s policy outlook.

 

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