Key facts
- RBA Deputy Governor Andrew Hauser is scheduled to speak at a fireside chat.
RBA Deputy Governor Andrew Hauser will speak on Australia's economic outlook. Markets anticipate hawkish signals following recent comments from Governor Bullock and board member Harper, indicating inflation remains high and domestic demand is strong, potentially reopening the output gap.
RBA Deputy Governor Andrew Hauser is set to speak at a fireside chat in Sydney, with market participants closely observing for any indications regarding the future path of interest rates. This follows a week of hawkish commentary from RBA officials. Governor Michele Bullock reiterated that inflation remains elevated and that the central bank's monetary policy is appropriately positioned to respond to economic developments, reinforcing the conditional nature of the current pause. RBA Board member Ian Harper further heightened concerns by warning that stronger-than-expected domestic demand has led to a reopening of the output gap and that rising market-based inflation measures are a significant worry. Hauser, as deputy governor, is expected to align with this hawkish tone. The market will be scrutinizing his remarks for insights into the labor market, services inflation, and whether the current policy stance is considered sufficiently restrictive. Any hawkish lean from Hauser would solidify market expectations for further potential rate hikes, particularly given Harper's comments.
Any hawkish signals from RBA Deputy Governor Hauser could reinforce market expectations of further rate hikes, impacting Australian interest rates and the AUD, especially given recent concerns about domestic demand and inflation.