RBA November meeting minutes: No strong case for a near term move

Omkar Godbole FXStreet Contributor

The minutes of the Reserve Bank of Australia's (RBA) November monetary policy meeting released a few minutes before press time reiterated that while the next move in cash rates is likely to be on the higher side, there is no strong case for a near-term move.

Key points (Source: Reuters)

members noted average real earnings had not risen for six years, remained a key uncertainty
increase in wages growth necessary for inflation to reach the target range
impact of slow incomes growth, high debt "warranted close monitoring"
employment stronger than expected, unemployment to fall to 4.75% by mid-2020
members noted could be "more pronounced decline" in unemployment in the near term
fall in the AUD over 2018 likely to have been helpful for domestic economic growth
data pointed to further solid GDP growth in the Sept qtr, to avg 3.5 pct over 2018 and 2019
growth to be supported by accommodative monetary policy, stronger terms of trade
Sydney and Melbourne housing markets had eased, credit tighter than has been for some time
trade protectionism remained a significant risk to the global economy
forecasts assumed a small negative impact on trading partner growth from tariffs

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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