The Reserve Bank of Australia's monetary policy committee decided to keep the interest rate unchanged at 4.35%, as expected.
The highlights of Bullock's speech at the press conference were as follows:
- Recent data is proving to be bumpy.
- We must be vigilant about the risks of inflation.
- We believe that interest rates are at the appropriate level to return inflation to the target.
- I don't think we necessarily have to stress again, but we can't rule it out if we have to.
- The right attitude at the moment is to stay where we are and monitor the economy.
- We may have to raise interest rates again, but this is not part of our central forecast at the moment.
- Market prices are still fairly balanced at the moment, but it tells us that we have to be very vigilant.
