“…no macroprudential until that space picks up materially”
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#RBA minutes on housing Despite Lowe talking about the risks of higher asset prices both the Bank & APRA are focused on credit growth so there will be no macroprudential until that space picks up materially (which is the risk) in the meantime property prices will rise sharply IMO pic.twitter.com/8oYNTlvpAF
— Alex Joiner (@IFM_Economist) September 17, 2019
Alas, I agree that further macroprudential tightening is not imminent given the RBA will bleat but cut anyway and APRA has a corrupt chairman beholden to the Government’s mandate to inflate.
About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific's leading geo-politics and economics portal.
He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.