The RBA signals its discomfort with the rising Australian dollar
The RBA signals its discomfort with the rising Australian dollar
Australia Inflation Misses Target
03 August, 2017, 00:55
He said Dr Lowe's statement "effectively says that a stronger Australian dollar amounts to a de facto monetary policy tightening which threatens the RBA's growth forecasts".
He said Dr Lowe's reference to higher commodity prices against the backdrop of expected weaker terms of trade also indicated the RBA was unconvinced a recent bounce in commodity prices was sustainable. It would also cause the progress in economic activity and inflation to be slower than predicted.
'The higher exchange rate is expected to contribute to subdued price pressures in the economy.
Since the start of this year the Australian dollar is up almost 5% against the USA dollar - largely, the RBA noted, a result of weakness in the U.S. currency. Investors in residential property are facing higher interest rates.
"With headline inflation tracking slightly below the 2 to 3 per cent target range, labour markets tightening and the economy continuing to grow, albeit at a pace below trend, the chances of a rate cut appear to have diminished", he said.
Danilo Gallinari Injures Hand, to be Ready for Camp Gallinari's new teammate, Blake Griffin , missed significant time in 2016 when he punched a Clippers' equipment manager. Gallinari plays for Italy's global team and they're now preparing for Eurobasket .
But HSBC Australia chief economist Paul Bloxham - who is expecting a cash rate hike early in 2018 - disagreed that the currency's strength would stay the RBA's hand.
There had been speculation in the mainstream media that interest rates would need to rise sooner rather than later, particularly as house prices in Sydney, Melbourne and Canberra posted double-digit growth year-on-year, according to the CoreLogic Hedonic Home Value Index. Some pick-up in non-mining business investment is expected.
In his statement, Dr Lowe said that although retail sales had picked up recently, "slow growth in real wages and high levels of household debt are likely to constrain growth in spending". Growth in housing debt has been outpacing the slow growth in household incomes.
They're expected to show continued solid jobs growth in the U.S. with 180,000 new jobs created in July and a fall in the unemployment rate, coupled with subdued wages growth. In some other markets, prices are declining. A factor working in the other direction is increased competition from new entrants in the retail industry.
RBC capital markets are bullish the Aussie versus the Pound as, "Absent any shift in rate expectations, our default position remains to buy dips in AUD as the outright yield continues to draw in investors while volatility and global yields remain historically low".
The RBA also remained fairly neutral in its outlook for future growth as it said "forecasts for the Australian economy are largely unchanged", which would suggest that the bank's quarterly Statement on Monetary Policy (SoMP) on Friday will not deviate greatly from the RBA previous forecast of 3% annual growth.
Berlin will use this opportunity to influence the White House decision and hopes that there is still time until U.S. President Donald Trump finally determines how he will strengthen sanctions against Russian Federation .
Microsoft just announced a new financing option for Surface Laptops, Surface Pro 2017s, Surface Books and Surface Studios. Surface Plus has been launched exclusively for the United States and it will be available starting today.
Only the main player can decide when to sleep, start and end festivals, and what interactions they would prefer with NPCs. Following the PC release, the patch will then be rolled out to consoles starting with the Nintendo Switch .
In other Inmarsat Plc news, insider Tony Bates sold 15,155 shares of the stock in a transaction that occurred on Friday, June 9th. The Firm is engaged in managing forests and producing pulp, paper and compound plastics for industrial and consumer packaging.
The American Civil Liberties Union (ACLU) also pushed back hard against Trump's rhetoric. "These are animals", the president said. Trump, addressing a crowd in New York's Suffolk County. "I'd like to punch him in the face, I'll tell you".
Ford also cut fleet sales by 26 percent, and had to stop sales of its Transit commercial van for a few weeks for a recall. Ford's sales excluding heavy trucks declined 7.4 percent, as passenger-car deliveries dropped 19 percent.
But some digital currency exchange operators- including Coinbase and Bitstamp - have said they won't support Bitcoin Cash . Coinbase's decision against supporting the new version, however, means its customers will not receive this benefit.
A witness told ABC7: "We called some help, we called the police and said there's still a girl in the water". Monday night. 'Suspending a search is always a hard decision and it's something we don't take lightly'.
As a result, the RBI said it wanted more confidence that inflation would move "close to 4 percent on a durable basis". The Committee was formed during a year ago on the lines of Federal Open Market Committee in the US.
And the Yankees are still searching for additional starting pitching, with Oakland's Sonny Gray as their primary target. Castro also added two RBI's. "You're not going to feel 100 percent or be on you're "A" game 100 percent of the time".
One day earlier, on Friday, seven-month-old Zane Endress died after being left alone in a auto on the northeast side of Phoenix. Phoenix fire responded to the area of 28th Street and Broadway Road after receiving reports about an injured child.
Philippine police says crackdown targeting more drug lords
During the raid, the police discovered high-powered firearms, explosive devices, huge sums of money and illegal drugs. The deaths came after President Rodrigo Duterte tagged them as politicians involved in the illegal drug trades .
Radeon RX Vega is AMD's return to high-end GPUs
The WX 9100 has 16 GB of 945 MHz HBM2 ECC memory on the same package as the GPU core, providing up to 484 GB/s of bandwidth. Vega will come in a number of different variants including the vega 64 and 56 which will be released later this month.
LG V30 will go on sale from September 28 in the US
Similar to the V10, a second, supplemental display is located at the top of the device to the right of the front-facing camera. Now, with the LG V30 , according to rumours we can expect a crisper OLED display instead of its traditional LCD displays.
At least 6 hurt after van hits crowd in LA
A fire department spokesperson says four people have been taken to a hospital and two others were treated at the scene. KTLA-TV reports that a 44-year-old man was rushed by first responders to hospital in a critical condition.
Wisconsin governor defends $3 bln deal for Foxconn plant
Foxconn was exploring investments in seven states including Illinois, Indiana, Michigan, Ohio, Pennsylvania and Texas. Walker said he would convene a special session of the Wisconsin Legislature to address the Foxconn incentive package .
US, Overseas Airlines Enhance Foreign Airport Security
As of today, the ban has been removed in full for all ten airports and nine airlines included in the original travel restriction . And Secretary Kelly says terror organizations will continue to try to beat any new security measures that are put in place.
Vikings finalizing 5-year deal with Xavier Rhodes
The new contract includes $41 million guaranteed and pays more than $42 million over the first three years , according to ESPN. The Vikings are also discussing contract extensions with defensive tackle Linval Joseph and linebacker Anthony Barr.
India Vs Sri Lanka 1st Test Day 3rd
Since there's a lot of time remaining for the action, the players of Team India made a decision to blow some steam off. Debutant Danushka Gunathilaka was out for two, hitting Umesh Yadav straight to Cheteshwar Pujara at square leg.