QIC's Peter Sees RBA on Hold Into 2018

The video discusses global currency trends, highlighting that the shift from policy easing to tightening is not just a U.S. dollar story but affects all currencies. The Reserve Bank of Australia (RBA) has been slow to change its policy, but recent developments suggest a shift towards tightening. Economic indicators such as low wage growth, inflation, and household debt are analyzed, painting a complex picture for the RBA. The future outlook suggests the RBA will hold rates until late 2018, with potential tightening later, but faces challenges due to weak growth prospects and housing market issues.

What global trend is influencing central banks, including the RBA, to shift their policies?

• A move from policy tightening to policy easing

• A focus on decreasing household debt

• A move from policy easing to policy tightening

• A focus on increasing inflation

What recent change has affected the Australian dollar according to the transcript?

• A change in the RBA's policy outlook

• A decrease in global inflation

• A decrease in Australian interest rates

• An increase in Australian interest rates

Which economic factor is NOT mentioned as a challenge for the Australian economy?

• Anemic inflationary pressures

• Household debt

• Low wage growth

• High inflation

What is the RBA's expected policy action in the second half of 2018?

• Tightening monetary policy

• Keeping interest rates on hold

• Increasing household debt

• Cutting interest rates

Why is the RBA hesitant to cut interest rates further?

• To increase wage growth

• Due to the risk of stimulating the housing boom

• Because of high inflation

• To decrease household debt