Whenever Michele Bullock’s Reserve Bank has an excuse not to change interest rates, it grabs it. That was on grand display at Tuesday’s announcement to keep official rates on hold at 4.35 per cent.The latest excuse the RBA latched onto was no surprise. The recently released second-quarter trimmed-mean inflation numbers came in at 3.6 per cent. Now that’s miles above the RBA’s own 2.5 per cent target. It’s among the highest core inflation rates in advanced economies. And it was a tick up from the previous quarter’s 3.5 per cent.Subscribe to gift this articleGift 5 articles to anyone you choose each month when you subscribe.Subscribe nowAlready a subscriber? Fetching latest articles
RBA is still gazing into defective crystal ball
The RBA is no better at forecasting than the private sector astrologists at major banks masquerading as so-called “market economists”.
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