A lot has come out of this morning’s RBA Senate Estimates appearance, so here’s a few points you may have missed earlier:<\/p>\n
On housing<\/p>\n
“In 2015, you did say there was a case for reviewing investment property tax settings. Is that still the view of the bank?” asked Senator Nick McKim<\/p>\n
“I don’t think the bank has a view on this at the moment, senator. Our focus the last few years, quite frankly, has been on bringing inflation down and keeping unemployment stable,” Ms Bullock said.<\/p>\n
“We are of course interested in what’s going on in the housing market but, like everyone, we have to prioritise our efforts.<\/p>\n
“Let me say that as a mother and grandmother, I understand all the points you are making.<\/p>\n
“But in terms of the mandate of the Reserve Bank, we don’t have a mandate to be taking views and making suggestions on housing policy and taxation policy, that is not our mandate.”<\/p>\n
On the inflation target<\/p>\n
“Would you say that so far during this post pandemic cycle, you are yet to return inflation sustainably to target, which I know is your objective, noting that you had your own quite emphatic statement during your most recent press conference that you’re targeting that midpoint of 2.5%?” Senator Jane Hume asked.<\/p>\n
“We’re obliged to target the midpoint \u2026 but we still have a band and the concept is that it doesn’t have to literally be at the midpoint,” Ms Bullock said.<\/p>\n
“Have we got it sustainably back in the band into the midpoint? As yet, no, I would have to say we haven’t. But that’s the whole point of what the board is grappling with.”<\/p>\n
On China<\/p>\n
Senator Deborah O’Neill asked if there was anything Australia needed to be “alert to” in terms of China’s economy.<\/p>\n
“In terms of the real estate market, I think that’s going to remain in the doldrums for some time, because I don’t think there’s any appetite over there to in any sense bail out the real estate market,” Ms Bullock said.<\/p>\n
“We think that they will meet their target of around about 5% growth.<\/p>\n
“They are finding markets for their goods even though their exports to the US have declined \u2014 they are finding other markets for those.<\/p>\n
“There is risk in all of this that those markets they find for their goods, those markets might respond by restricting trade if they feel that it’s, for example, disadvantaging their own industry.<\/p>\n
“So there is still a little bit of risk in this but, at the moment, world trade seems to be adjusting.”<\/p>\n","protected":false},"excerpt":{"rendered":"A lot has come out of this morning’s RBA Senate Estimates appearance, so here’s a few points you…\n","protected":false},"author":2,"featured_media":296041,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[7593,21884,84,9717,3355,1294,1568,467,4221,2987,3350,3351,56,54,55,4806,7181],"class_list":["post-296040","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-asx","tag-aud","tag-business","tag-dollar","tag-dow-jones","tag-economy","tag-gold","tag-markets","tag-nasdaq","tag-oil","tag-sp","tag-sp-500","tag-uk","tag-united-kingdom","tag-unitedkingdom","tag-usd","tag-wall-street"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/296040","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=296040"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/296040\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/296041"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=296040"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=296040"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=296040"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}