19 Nov 2013
Flash: Focus on the RBA minutes - Westpac
FXstreet.com (Barcelona) - The Asian market tradign will be clearly dominated by the RBA minutes, notes Westpac.
Key Quotes
"Back in the August minutes the RBA noted that “members agreed that the Bank should neither close off the possibility of reducing rates further, nor signal an imminent intention to reduce rates further”. That statement has appeared in each set of minutes since. We expect the minutes again to ‘neither close off the potential for further rate cuts nor suggest an imminent easing’."
"With the release of the Statement of Monetary Policy between the last meeting and today’s minutes there would appear to be less room for a surprise. In the SOMP the RBA lowered its growth forecast for 2014 from 2.5%-3.5% to 2%-3% which places their forecasts in line with Westpac’s. FX markets will closely watch today’s minutes and upcoming speeches from the RBA for any signs of increased focus on the downside risks for the A$. On October 29, Governor Stevens noted that “it seems quite likely that at some point in the future the Australian dollar will be materially lower than it is today”."
Key Quotes
"Back in the August minutes the RBA noted that “members agreed that the Bank should neither close off the possibility of reducing rates further, nor signal an imminent intention to reduce rates further”. That statement has appeared in each set of minutes since. We expect the minutes again to ‘neither close off the potential for further rate cuts nor suggest an imminent easing’."
"With the release of the Statement of Monetary Policy between the last meeting and today’s minutes there would appear to be less room for a surprise. In the SOMP the RBA lowered its growth forecast for 2014 from 2.5%-3.5% to 2%-3% which places their forecasts in line with Westpac’s. FX markets will closely watch today’s minutes and upcoming speeches from the RBA for any signs of increased focus on the downside risks for the A$. On October 29, Governor Stevens noted that “it seems quite likely that at some point in the future the Australian dollar will be materially lower than it is today”."