Australian interest rates

Our Bill is slashing his outlooks.

By Gareth Aird, head of Australian economics at CBA: Key Points: The RBA is widely expected to raise the cash rate at the June Board meeting.

The robot whisperer Charlie McElligott at Nomura.

This is the Chanticleer takes on the eastern energy crisis: We are reliant on an ageing fleet of coal-fired power stations, whose poor reliability issues are causing increasing amounts of gas to be used to generate electricity.

A group of eleven prominent Australian economists have penned an an open letter to Treasurer Jim Chalmers calling for the upcoming review of the Reserve Bank of Australia (RBA) to be chaired by an independent overseas expert: “Full independence is crucial if the review is to make the most of this unique opportunity”.

For the past few years, the Albanese opposition ran a small target opposition to put the toxic Scott Morrison at the center of the election.

Goldman explores the question.

Treasurer Jim Chalmers has signaled that the new government will move quickly to review the Reserve Bank of Australia (RBA).

BofA with a quick insight into why the Fed is not worried about stock prices right now.

Goldman with an interesting, Basically, US rate shocks are Chinese growth shocks. — Our global financial conditions index (FCI) has tightened, in part because the Fedhas turned more hawkish in the face of rising inflation but slowing growth.

Here’s what the Lunatic RBA said in Minutes this week: Turning to domestic economic conditions, members observed that price pressures were intensifying and there was upward pressure on wages.

Westpac with the note.

Australian wage growth missed economists’ expectations in the March quarter of 2022, according to new data released today by the Australian Bureau of Statistics (ABS).

Over the past few weeks, we’ve witnessed the business lobby, mainstream media, the IPA and Coalition all hit out at the union’s and Labor’s call to lift the minimum wage by the Consumer Price Index (CPI), claiming that doing so would stoke inflation and force up interest rates.

Roy Morgan has released its inflation expectations survey for April, which shows that expectations fell 0.5% to 5.5% after fuel excise was cut by 22.5 cents in the March federal budget: In April 2022 Australians expected inflation of 5.5% annually over the next two years, down 0.3% points from March 2022.

Labor leader Anthony Albanese continues to attract scrutiny over his push for the minimum wage to be increased in line with the inflation rate. The Institute of Public Affairs (IPA) estimates that a 5.1% increase in the minimum wage would add about 2.25% to the inflation rate over the next 12 months.

If you want to understand just how biased the Australian MSM is these days then look no further than the last week of political coverage.

Freelance journalist Tarric Brooker has authored an interesting article estimating how forecast interest rate rate rises would compare with Australia’s historical experience.

Deutsche with some alternative methods for measuring US financial conditions.