Growth has been above trend rates in the major advanced economies and in most of Australia’s major trading partners. Central banks in the United States and some other advanced economies have begun to remove the exceptional monetary policy stimulus. But monetary policy has remained very expansionary in the euro area and Japan. Overall, global financial conditions remain highly accommodative. The tightening in the United States and divergent monetary policies have not disrupted financial markets as central banks have been careful to clearly communicate their expected paths for policy. Overall, positive economic and ... (full story)