From previous RBA release
"The exchange rate has risen further, even though the terms of trade have started to decline. This is largely a reflection of a decline in the euro against all currencies. Nonetheless, the Australian dollar in trade-weighted terms is somewhat higher than the Bank had previously assumed."
"Should demand conditions weaken materially, the inflation outlook would provide scope for easier monetary policy. The Board will continue to monitor information on economic and financial conditions and adjust the cash rate as necessary to foster sustainable growth and low inflation."
with EUR keep declining, USD being hammered as the market keep expecting another QE, I think AUD will be a temporary "safe haven" and it will raise further should there be no intervention
and looking at recent private capex and building approval, I think it's probably time to start decreasing interest rate
CMIIW
my 2c
"The exchange rate has risen further, even though the terms of trade have started to decline. This is largely a reflection of a decline in the euro against all currencies. Nonetheless, the Australian dollar in trade-weighted terms is somewhat higher than the Bank had previously assumed."
"Should demand conditions weaken materially, the inflation outlook would provide scope for easier monetary policy. The Board will continue to monitor information on economic and financial conditions and adjust the cash rate as necessary to foster sustainable growth and low inflation."
with EUR keep declining, USD being hammered as the market keep expecting another QE, I think AUD will be a temporary "safe haven" and it will raise further should there be no intervention
and looking at recent private capex and building approval, I think it's probably time to start decreasing interest rate
CMIIW
my 2c
