The RBA meeting minutes showed that the next step is likely to be to raise interest rates. The most prominent points in the results of the meeting were as follows:
- The next step will be to raise interest rates rather than down.
- There is no strong reason to take action in the near term.
- Employment rates grew at a faster pace than expected.
- Unemployment may fall to 4.75% by mid-2020.
- Note that members' average real income has not risen for six years.
- There is still uncertainty about the situation.
- We monitor the impact of slower wage growth and higher debt levels.
- The Australian dollar's decline is likely to be beneficial to domestic economic growth in 2018.
- Data showed GDP growth during the third quarter averaging 3.5% during 2018 and 2019.
- Expansionary monetary policies have contributed to the pace of growth.
- Credit has become tighter than it has been for some time.
- Trade protectionism has been a major threat to the global economy.
