RBA governor Bullock: If inflation falls more quickly than forecast, we can respond ...Middle East

We are aiming for inflation at 2.5%As long as inflation continues on its gradual slowing path, we will be in position to consider cutting rates at some pointWe don't need inflation to be at target to cut ratesBut we need to be sure it is heading thereBoth the RBA and markets in general will be waiting for evidence of this before really considering any rate cut pricing. As things stand, markets are seeing the first full 25 bps rate cut only in May. The odds of a rate cut in December and February at this point are pretty much nil. This article was written by Justin Low at www.forexlive.com.

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