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28 Jan 2015
Expect two cuts from RBA in 2015 - NAB
FXStreet (Guatemala) - Analysts at National Australia Bank Limited looked in the the Australian economy.
Key Quotes:
"Fully factoring in lower oil and other commodity forecasts have created a larger “v” in the shape of our activity forecasts – softer in the near term (2014/15) as iron ore/coal effects dominate but stronger in the medium term (2015/16) reflecting oil prices, rate cuts and marginally stronger MTP growth and exports."
"Cuts to national incomes and lower inflation are key short term outcomes. Core CPI 1¾% by Q1 2015. Unemployment to continue to deteriorate but peak lower (6.6%) and later (Q4 2015)."
"Still expect two rate cuts in 2015 but timing very dependent on data flow and could start a touch later."
Key Quotes:
"Fully factoring in lower oil and other commodity forecasts have created a larger “v” in the shape of our activity forecasts – softer in the near term (2014/15) as iron ore/coal effects dominate but stronger in the medium term (2015/16) reflecting oil prices, rate cuts and marginally stronger MTP growth and exports."
"Cuts to national incomes and lower inflation are key short term outcomes. Core CPI 1¾% by Q1 2015. Unemployment to continue to deteriorate but peak lower (6.6%) and later (Q4 2015)."
"Still expect two rate cuts in 2015 but timing very dependent on data flow and could start a touch later."