RBA, Ukraine and the floods

 

March has already been an eventful month for the Australian economy. The Q4 21 GDP data showed a large 3.4%/qtr lift in economic growth while the invasion of the Ukraine and the terrible floods on the east coast will add to the inflation pressures in the Australian economy. In this podcast Gareth Aird, Head of Australian Economics and Belinda Allen, Senior Economist discuss recent economic developments as well as RBA Governor Lowe’s speech at the AFR Business Summit. In short the RBA do not need to see two more CPI prints to hike, consistent with our base case of a June rate hike given CBA’s expectation for a very strong Q1 22 CPI print.

 

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