The RBA has always been a very easy central bank to forecast. No matter what it said, it above all followed the data.
Thus when other’s listened to its hawkish rhetoric in 2011 and 2014 and fell for imminent rate hikes, we were very confidence that they were wrong. We knew that the economy was not going to send the RBA the signals it needed to hike so it was easy to defy the hawks.
An article today at the WSJ casts doubt on that assumption under Phil Lowe:
