Reserve Bank of Australia Governor Michelle Bullock's remarks today after the interest rate fixing decision

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.

 

The message here is that they are not in a hurry yet to move towards raising interest rates.

However, the fact that they discussed the matter today means that the mentioned option is already proposed.

The bottom line here is that the RBA did not issue a clear tendency to tighten monetary policy today, but kept the door open for walking again.