RBA minutes for the December monetary policy meeting
- AUD remains uncomfortably high, lower level needed for balanced growth
- Board has not closed of possibiity of easing further
- See further singns that past rate cus are stimulating the economy
- Expects below trend growth over the next year, pick up thereafter
- Mining investment to decline over next few years
- Sees other business investment rising from current weak levels but will take time
- Labour market remains soft, but there are tentative signs of stabilization
- household consumption looks to have picked up a little since Q3
- Forward-looking indicators suggest dwelling investment would strengthen
- Chinese economy appeared a bit stronger in H2 vs. H1
Link: Minutes of the December 2013 Monetary Policy Meeting of the Reserve Bank Board
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The minutes are basically unchanged from November. The importance of the minutes was superseded by Glenn Stevens comments last week – we don’t need to dissect the minutes to know what Stevens and the RBA is thinking.
AUD is up a fraction, barely changed.
And, a reminder; there is no RBA rate meeting in January, the next is February 4, 2014
