“With the core inflation readings fly-papered to a narrow range around 2.5 per cent, there is scope for the RBA to continue its rates-on-hold strategy for several more months.”
“I'm always worried with the consensus being unambiguously strong and unrelenting in the view they hold. But at this stage, maybe it's so obvious that the consensus may be right.”
“The market hasn't been paying enough attention to inflation risks as it should. The prospect of an interest-rate move higher in the months ahead will mean the Australian dollar will find some friends.”
“Australia's current account is still at an uncomfortable level. We haven't yet seen the big pickup in exports we need to generate a narrowing in the current account.”
“The Fed will pause at 4.75 percent. After this month they will sit back for a couple of meetings to judge how the economy unfolds. That could be the catalyst for further dollar weakness.”
