Following are the key headlines from the June RBA monetary policy statement (via Reuters), as presented by Governor Phillip Lowe.
“Will maintain its efforts to keep funding costs low in Australia and credit available to households and businesses.”
“Global economy is experiencing a severe downturn.”
“Accommodative approach will be maintained as long as it is required.”
“Prepared to scale-up bond purchases again and will do whatever is necessary to ensure bond markets remain functional.”
“Substantial, coordinated and unprecedented easing of fiscal and monetary policy helping the economy through difficult period.”
“Likely that this fiscal and monetary support will be required for some time
“Market operations continue to support a high level of liquidity in the Australian financial system.”
“Outlook, including the nature and speed of the expected recovery, remains highly uncertain.”
“Pandemic is likely to have long-lasting effects on the economy.”
“Economy is going through a very difficult period and is experiencing the biggest economic contraction since the 1930s.”
“Possible that the depth of the downturn will be less than earlier expected.”
“In the period immediately ahead, much will depend on confidence people and businesses have about the health situation and their own finances.”
“Signs that hours worked stabilized in early May.”
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