We did consider a rate hike, ready to raise rates if neededWe are vigilant to upside risks to inflationIf inflation does not track the way we are forecasting, we will raise interest ratesHard to draw any red lines on price targets when forecasts are also inherently uncertainNeed to have caution and calm on market volatilityMarket is pricing in rate cuts too soon, it does not align with the Board’s thinkingMarket expectations are getting a little bit ahead of themselves
I think that’s pretty much a nail in the coffin, at least for now, for those anticipating a rate cut in November and even December. AUD/USD is now up 0.4% to 0.6520 on the day as Bullock speaks.
This article was written by Justin Low at www.forexlive.com.
