August SOMP: RBA taking “significant risk” with inflation

05 August 2022

 

Summary: RBA cuts GDP forecasts for periods out to June 2024; underlying inflation forecasts rise again; jobless rate expected to fall to 3.25% by December then rise gradually; headline inflation forecasts increase significantly again; economists concerned RBA is “taking significant risk”. The Statement on Monetary Policy (SoMP) is released each quarter and it is closely watched for updates to the RBA’s own forecasts. In May’s SoMP, the opening two sentences...

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