Goldman Sachs on the RBA - better than even chance of November rate hike

Goldman Sachs give a 60% chance to a rate hike from the Reserve Bank of Australia in November

• The note says Lowe's statements confirms RBA is more responsive to financial imbalances due to accelerating prices & speculative activity in the property market
• Less responsive to low inflation
• GS say this shift could lead to an end-2017 cash rate 15-25bps higher than under a traditional policy rule