RBA minutes: Members observed that inflation had picked up more quickly than the bank had expected
The Reserve Bank of Australia (RBA) has published minutes of the last meeting and has stated that they will not raise interest rates until the target is met. The RBA is prepared to be patient but note that inflation picked up more quickly than expected.
AUD/USD is a touch weaker on the minutes, 5 pips lower.
Key notes
- - RESERVE BANK OF AUSTRALIA MINUTES: BOARD IS PREPARED TO BE PATIENT AS IT MONITORS HOW THE VARIOUS FACTORS AFFECTING INFLATION IN AUSTRALIA EVOLVE.
- 14-Feb-2022 18:30:36 - RBA MINUTES: ECONOMIC OUTLOOK WAS BEING SUPPORTED BY HOUSEHOLD AND BUSINESS BALANCE SHEETS
- 14-Feb-2022 18:30:48 - RBA MINUTES: WHILE INFLATION HAD PICKED UP, MEMBERS AGREED IT WAS TOO EARLY TO CONCLUDE THAT IT WAS SUSTAINABLY WITHIN THE TARGET BAND.
- 14-Feb-2022 18:30:56 - RBA MINUTES: MEMBERS OBSERVED THAT INFLATION HAD PICKED UP MORE QUICKLY THAN THE BANK HAD EXPECTED
- 14-Feb-2022 18:31:06 - RBA MINUTES: MEMBERS NOTED THAT SOME MODERATION IN INFLATION WAS EXPECTED AS SUPPLY PROBLEMS WERE RESOLVED
- 14-Feb-2022 18:31:20 - RBA MINUTES: MEMBERS OBSERVED THAT THE ACHIEVEMENT OF THE GOALS WAS WITHIN SIGHT FOR THE FIRST TIME IN SEVERAL YEARS
More to come...
Why it matters to traders?
The Reserve Bank of Australia (RBA) publishes the minutes of its monetary policy meeting two weeks after the interest rate decision is announced. It provides a detailed record of the discussions held between the RBA’s board members on monetary policy and economic conditions that influenced their decision on adjusting interest rates and/or bond buys, significantly impacting the AUD. The minutes also reveal considerations on international economic developments and the exchange rate value.