### POV No Change At The RBA, Eyes On...........>

RBA: ### POV No Change At The RBA, Eyes On Forecasts

- The RBA is set to leave its cash rate unch at 1.50% on Tues. Focus will

quickly turn to the statement, with the Bank set to make inference regarding its

upcoming econ projections, due Friday. Housing/consumer activity will be eyed.

- Q3 CPI won't alter the RBA's view, as it had previously flagged the impact of

one off drags on inflation in Q3, with the core measures meeting the Bank's exp.

- Comments regarding the labour mkt will provide more interest after the

unemployment rate fell to 5.0%, although the move was driven by a fall in the

participation rate. RBA Dep. Gov. Debelle spoke before the print, suggesting

unemp may fall further than it has done in previous instances before wages pick

up. It is worth noting that the unemp rate has now reached a level that the RBA

was expecting it to hit in late '20, although this was also covered by Debelle,

as he noted that unemp may decline at a faster rate than the Bank expects.

- The move is unlikely to alter the trajectory of MonPol, but any tweaks around

language regarding jobs will be of interest. That being said, excluding a move

in wages/infln, the print will likely do little for the RBA in isolation.