Australia’s central bank highlighted a better global backdrop and faster growth at home, while reiterating inflation’s advance and unemployment’s decline would be only gradual, in minutes of this month’s policy meeting.
Spare capacity in labor market will continue to decline “gradually” in 2018 and, as a result, wage growth was expected to rise “gradually”
Australia’s GDP growth expected to exceed potential in 2018 and inflation seen increasing “gradually” to be a little over 2%
Household debt remained high, contributing to uncertainty around outlook for consumption growth
Economic growth in most of Australia’s major trading partners had risen to be above its five-year average over 2017 and this momentum appeared to have been maintained into 2018
Source : Bloomberg