Australian interest rates

Below are CBA’s and Westpac’s November CPI Previews.

It is fair to say that the Reserve Bank of Australia (RBA) would already be cutting interest rates if not for the nation’s low unemployment rate of 3.9%.

Treasurer Jim Chalmers says the federal government undertook a “very robust and very consultative” process to select the members of the Reserve Bank of Australia’s (RBA) two new boards, which will come into effect on 1 March 2025.

Financial markets have fully priced in dual interest rate cuts at the Reserve Bank of Australia’s (RBA) board meetings in April and May after the central bank adopted a more dovish tone in Tuesday’s monetary policy statement.

Cut the rates!

It has been obvious for months that the Australian economy is returning to pre-COVID form of lowflation led by weak wages.

At today’s monetary policy meeting, the Reserve Bank of Australia (RBA) left the official cash rate unchanged at 4.35%.

He’s cut his “two more two more rate hikes” outlook but bullhawk Warren Hogan continues to screech.

This week, the Reserve Bank of Australia (RBA) will announce its monetary policy decision, which is likely to be a straightforward hold.

How did anyone ever get on with AFR journalism when it was wrong and a day late?

Wages have been pancaked for six months in the national accounts. Westpac. Cost pressures continue to moderate as the impact of the larger than average 2022-23 minimum and award wage increase roll out of annual calculations. Average (non-farm) earnings per hour moderated to 3.2%yr, from 6.5%yr in the June quarter.

The revolt is building against Michele Bullhawk’s Psycho RBA.

On Monday, the Melbourne Institute (MI) monthly inflation gauge was released, which showed that inflationary pressure remained well contained in November.

Treasurer Jim “chicken” Chalmers has injected a whole new level of uncertainty into interest rates. His tax and spend economy has hoodwinked the RBA (not that that was hard).

The Australian Bureau of Statistics (ABS) today released retail sales data for October, which posted a third consecutive rise.

Michele Bullhawk appears to be a worker-hating psycho.

Earlier this week, Australian Prudential Regulation Authority (APRA) chairman John Lonsdale gave a speech to the European Australian Business Council. He noted that the number of Australians experiencing severe mortgage stress has nearly doubled from 2016 levels and is trending up amid the aggressive monetary tightening from the Reserve Bank of Australia (RBA).

National Australia Bank (NAB) has become a banking pariah, lobbying for easier first-time homebuyer access to mortgage credit to improve ‘housing affordability’.

Egghead economists are still refusing to admit the obvious—that energy rebates have killed inflation.

From the ABS. Markets expected 2.3% but got 2.1%. The monthly CPI indicator rose 2.1% in the 12 months to October. The most significant price rises at the Group level were Food and non-alcoholic beverages (+3.3%), Recreation and culture (+4.3%), and Alcohol and tobacco (+6.0%). Partly offsetting the annual increases in other Groups was Transport (-2.8%).

From a new Lunatic RBA FOI.

The lunatic RBA is back.

Right where the sadistic RBA wants it. Flash Australia PMI Composite Output Index(1): 49.4 (Oct: 50.2). 10-month low. Flash Australia Services PMI Business Activity Index(2): 49.6 (Oct: 51.0). 10-month low. Flash Australia Manufacturing Output Index(3): 47.9 (Oct:44.7).