RBA now in ‘wait and see’ mode

The RBA remains in ‘wait and see’ mode as the earlier heavy lifting on monetary policy flows through to the Australian economy. 

Labour markets are tightening, housing prices are broadly rising, credit flows are trending higher and consumers are more confident now than they were leading up to the pandemic. Most indicators are pointing towards a faster than forecast recovery thanks to record low interest rates along with ongoing fiscal support and containment of the virus. 

From a…