Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
The Reserve Bank of Australia lifted its trimmed mean inflation forecast to 6.5% for 2022 and warned energy prices will add "significantly" to inflation pressures over coming years, according to the Statement on Monetary Policy released on Friday. The increase in the Bank's preferred inflation estimate from the 6% forecast in August's statement follows the Bank's warning on Tuesday that headline inflation would peak "around" 8% later this year after it lifted rates 25bp to 2.85% - the seventh consecutive hike. (See MNI RBA WATCH: Hikes 25bp, To Miss Inflation Target Until 2025).
The RBA's also lifted its trimmed mean inflation estimate for June 2023 to 5.5% from 5% in August, and importantly, lifted its estimate for December 2024 from 3% in August's statement to 3.25% - a pace above the Bank's 2% to 3% inflation target.
The statement warned that energy prices are expected to add "significantly" to inflationary pressures over coming years. Retail prices for electricity and gas have increased by between 10% and 15% per cent in recent months and would be reflected in the December quarter CPI as state government subsidies wane.
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.