RBA’s Bullock: We're bringing down inflation and keeping jobs very satisfying
Reserve Bank of Australia (RBA) Governor Michele Bullock spoke at the Australian Business Economists' Annual Dinner, in Sydney on Monday.
Key quotes
Monthly numbers can be volatile but unemployment rate jump was a surprise.
Unemployment could come down again next month.
The board is cautious about policy, interest rates are still a bit restrictive.
Inflation is back in the target band and unemployment rate is still pretty low so still in good condition.
We will have to decide whether a cut is needed to help the job market.
Rates might not come down as far as others.
If we end up with core inflation at 0.9% that would be a material miss (this would be 0.3% above their forecast for the Q/Q measure).
There's still a bit of tightness in the labour market.
US tariffs could potentially be deflationary for Australia.
Supply of labour not growing as fast as it was.
Labour market won't fall off a cliff.
I'm prepared to change my mind and move if we prove wrong on the labour market.
Market reaction
AUD/USD gains traction and retests 0.6550 following these comments, up 0.54% on the day.
Australian Dollar Price Today
The table below shows the percentage change of Australian Dollar (AUD) against listed major currencies today. Australian Dollar was the strongest against the Swiss Franc.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | -0.02% | -0.16% | -0.06% | -0.14% | -0.56% | -0.17% | 0.08% | |
| EUR | 0.02% | -0.11% | -0.05% | -0.10% | -0.50% | -0.15% | 0.14% | |
| GBP | 0.16% | 0.11% | 0.08% | 0.01% | -0.38% | -0.04% | 0.25% | |
| JPY | 0.06% | 0.05% | -0.08% | -0.08% | -0.52% | -0.10% | 0.15% | |
| CAD | 0.14% | 0.10% | -0.01% | 0.08% | -0.42% | -0.04% | 0.25% | |
| AUD | 0.56% | 0.50% | 0.38% | 0.52% | 0.42% | 0.35% | 0.64% | |
| NZD | 0.17% | 0.15% | 0.04% | 0.10% | 0.04% | -0.35% | 0.27% | |
| CHF | -0.08% | -0.14% | -0.25% | -0.15% | -0.25% | -0.64% | -0.27% |
The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Australian Dollar from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent AUD (base)/USD (quote).
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.
