Australia: Lower inflation justifies unchanged rates by the RBA – UOB
…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for FREE REGISTER to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level1)]
Economist at UOB Group Lee Sue Ann assesses the latest inflation figures in Australia and the prospects for a potential pause by the RBA of its hiking cycle.
“Australia’s headline CPI growth came in at 1.4% q/q for 1Q23, a tad higher than expectations of 1.3% q/q, but lower than the reading of 1.9% q/q in 4Q22. Compared to the same period a year ago, CPI advanced 7.0% y/y, also lower than the 7.8% y/y print in 4Q22, though still a tad higher than expectations of 6.9% y/y.”
“Underlying inflation also eased. Annual trimmed mean inflation was 6.6%, down from 6.9% in 4Q22.The trimmed mean measure rose at a slower pace of 1.2% q/q, compared to 1.7% q/q in 4Q22. The strength of the underlying inflation was also evident in the Reserve Bank of Australia (RBA)’s weighted median CPI, which was up 1.2% q/q, but down from the previous reading of 1.6% q/q.”
“Following today’s inflation figures, the RBA is likely to remain on the sidelines at the upcoming monetary policy meeting on 2 May. As such, we continue to see the current 3.60% cash rate as the likely peak. Focus will nonetheless continue to be on incoming economic data, including 1Q23 wage price index (17 May), followed by Apr employment (18 May).”
[/s2If]
Nehcap Expert Advisor
The NEHCAP MT4 EA is high quality professional trading system geared to generate returns without using GRID or martingales. Each trade has strict risk per trade parameter. The pairs under management include EURUSD, GBPUSD, AUDCAD, AUDNZD,GBPAUD, EURAUD, EURCAD, CHFJPY and many more.
The system is trading live: LIVE ACCOUNT TRACKING
You can run it free. Apply for a free trial and track our account. Buy the system or use profit share mechanism to generate returns on your MT4.
Join Our Telegram Group
