Bob Cunneen, Senior Economist and Portfolio Specialist   Sources: Australian Bureau of Statistics, RBA Governor Dr Philip Lowe, and RBA Statement of Monetary Policy, August 2019. Australian wage growth is barely crawling along. The Wage Price Index (WPI) showed a subdued 2.3% annual change to June (blue line). This modest gain in wages helps explain why…

  Highlights: Central banks have engaged in a policy reversal in response to weaker economic growth and the uncertainties associated with the US-China trade conflict. US inflation has inched higher, but core CPI measures and sluggish wages growth still point to spare capacity in the labour market. The UK’s new prime minister Boris Johnson will…

  Which key events have been driving markets? Watch this video of Senior Economist Bob Cunneen in discussion with Portfolio Manager, Myooran Mahalingam. August Economic Update – view video >>

At its meeting today, the Board decided to leave the cash rate unchanged at 1.00 per cent. The outlook for the global economy remains reasonable. However, the increased uncertainty generated by the trade and technology disputes is affecting investment and means that the risks to the global economy remain tilted to the downside. In most advanced economies,…