### SOMP POINTS TO LIVE RBA MEETINGS - The......>

RBA: ### SOMP POINTS TO LIVE RBA MEETINGS

- The RBA hasn't adopted an outright easing bias but its latest round of

economic forecasts are based on current market pricing i.e. 2 rate cuts, and saw

the 2019 GDP projections cut.

- The Bank concluded that "at its recent meeting, the Board focused on the

implications of the low inflation outcomes for the economic outlook. It

concluded that the ongoing subdued rate of inflation suggests that a lower rate

of unemployment is achievable while also having inflation consistent with the

target. Given this assessment, the Board will be paying close attention to

developments in the labour market at its upcoming meetings."

- In my book this combination makes virtually all RBA meetings "live," though

there may be a bit of a higher hurdle for an initial move at the non-SoMP

meetings. The traditional monthly labour market data will be key, but lower tier

vacancies data, from both ABS & SEEK, as well as the labour market components of

business surveys will likely receive increased scrutiny from a broader range of

participants going forward.