RBA Unlikely to Tighten More Amid Steady Underlying Inflation
Dow Jones
Yesterday
0230 GMT - The Reserve Bank of Australia is unlikely to tighten monetary policy further, given signs that Australia's underlying inflation is no longer quickening, Capital Economics' Abhijit Surya says in a commentary. "Measures of core inflation didn't strengthen any further in August, supporting our view that the RBA's tightening cycle is likely at an end," the senior APAC economist writes. Both trimmed mean and weighted median inflation were unchanged at 3.6% in August, Surya notes. The RBA "is likely to remain in wait-and-see mode in the near term, as it looks for confirmation that disinflation will in fact take hold over the coming months," the economist adds.
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