From the AFR:
The Reserve Bank of Australia could already be printing Australian dollars and selling them directly to foreign central banks in an effort to reduce buying pressure on the currency, according to investment bank UBS.
…In the week ending October 31, $2.1 billion was deposited, which is the highest weekly inflow since May 2009. Numbers have been high from the week ending August 29 onwards, when the weekly amount deposited jumped over $1 billion for the first time in three months.
“We find evidence that the RBA may have already acted on McKibbin’s advice,” foreign exchange analyst Gareth Berry wrote.
“The RBA’s balance sheet has evolved since the article first appeared, and is now behaving exactly as though the proposal has been adopted.”
