Philip Lowe the best option to lead central bank
Calls for Philip Lowe to be marched out of his job seem irresponsible given what’s at stake for the economy.
Calls for Philip Lowe to be marched out of his job seem irresponsible given what’s at stake for the economy.
There should no longer be any lingering doubt about the hawkish intentions of the Reserve Bank this year, which on Tuesday signalled it has a lot more work to do.
There is also unlikely to be much, if any, softening of the RBA’s guidance next week.
Australia’s central bank has slowed the pace of interest rate increases, but it looks likely to continue tapping the monetary policy brakes well into next year.
Rapidly broadening inflation challenges the central bank’s view that Australia is different, but it will want to hold some firepower.
Failure to seriously address the biggest and most pressing problem confronting the economy could have devastating consequences.
Having delivered a shock-and-awe campaign of hefty interest rate increases since May, the central bank chose to slow the pace of policy tightening at its latest board meeting.
Reserve Bank of Australia governor Philip Lowe came out swinging at his detractors on Thursday, defending his handling of monetary policy over the past year.
All indicators point to a fourth consecutive 50 basis point increase in the official cash rate next week as the latest data shows the RBA’s big guns have had little impact.
Rising inflation and surging rates are a problem, but the outlook will be made infinitely easier by the fact that every worker who wants a job can find one.
Original URL: https://www.theaustralian.com.au/author/james-glynn/page/7