RBA official says decline in Australian inflation to be slower than previously forecast

<p>Reserve Bank of Australia Assistant Governor (Economic) Marion Kohler spoke at a conference on the outlook for the Australian economy, approaches the Bank uses to assess where the economy is relative to full employment, and a review of economic forecasts for the past year.</p><ul><li>
Decline in inflation to be more gradual than previously thought</li><li>Bringing inflation
back to target is likely to be more drawn out</li><li>Domestically sourced
inflation has been widespread and slow to decline</li><li>Still-strong levels
of demand have allowed businesses to pass on cost increases</li><li>Wages growth has
picked up, but now appears to have broadly stabilised</li><li>Key risks is
possibility that high inflation today feeds into inflation
expectations</li><li>Encouragingly,
measures of medium-term inflation expectations consistent with target</li><li>Labour market
conditions are easing, but are still tight</li></ul><p>The full text is here:</p><ul><li><a href="https://www.rba.gov.au/speeches/2023/sp-ag-2023-11-13.html" target="_blank" rel="nofollow">The Outlook for the Australian Economy
</a></li></ul><p>—</p><p>The Reserve Bank of Australia raised its cash interest rate last week in the face of persistently above target inflation:</p>

This article was written by Eamonn Sheridan at www.forexlive.com.