RBA: Will not increase OCR until actual inflation is sustainably within 2%-3% target range
Following are the key headlines from the March RBA monetary policy statement, via Reuters, as presented by Governor Phillip Lowe.
Board is committed to maintaining highly supportive monetary conditions.
Will not increase the cash rate until actual inflation is sustainably within the 2% to 3% target range.
Prices of many commodities have increased further due to the war in Ukraine.
Australian economy remains resilient and spending is picking up following the omicron setback.
Wages growth has picked up but, at the aggregate level, is only around the relatively low rates prevailing before the pandemic.
Pick-up in wages is still expected to be only gradual.
How long it takes to resolve the disruptions to supply chains is an important source of uncertainty regarding the inflation outlook.
Author
Dhwani Mehta
FXStreet
Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.
