TD comments on Reserve Bank of Australia Dep Gov Debelle's remarks yesterday
In brief:
- Debelle poured cold water over near-term rate cut hopes
- the key sentence was "Hopefully we will get some resolution of this tension in the coming months with the incoming flow of data"
- RBA clearly stated that it may take some time for this 'tension' to be resolved. This patience contrasts with a market that is impatient for a cut - or at the very least an explicit easing bias - at the next Board meeting on May 7.
ICYMI yesterday:
- The preview …. AUD sliding to session lows ... ahead of Debelle (the dove?)
- The speech … RBA's Debell: Jobs market surprisingly strong, leading indicators solid
