Dovish RBA on hold until 2024, RBNZ to hike in November?
RBA maintained their dovish stance overnight... There was a nod to the improvement in the economy and recovery in the labour market.
Will not increase the cash rate until actual inflation is sustainably within the 2 to 3 per cent target range.
The Bank's central scenario for the economy is that this condition will not be met before 2024.
Meeting it will require the labour market to be tight enough to generate wages growth that is materially higher than it is currently.
Only notable difference is the removal of 2024 'at the earliest'.
QE is reduced to A$4bln