Australian Dollar: RBA faces rates squeeze – Rabobank
RaboResearch Global Economics & Markets notes the Reserve Bank of Australia (RBA) must decide on policy with strong construction growth and historical parallels to past Oil shocks and inflation spikes.
The Reserve Bank of Australia (RBA) is bracing for a rates squeeze, according to RaboResearch Global Economics & Markets. The bank highlights strong construction growth and parallels to past Oil shocks and inflation spikes as it prepares to make a policy decision. Australian Financial Review cites construction approvals nearing record GDP shares, anticipating a 25 basis point hike, which would bring the official cash rate to 4.60%. The RBA faces this challenge as soon as tomorrow, even if it overlooks many details.
Written by urgent.news from FXStreet's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
