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Following are the key headlines from the  May RBA  monetary policy  statement, via Reuters, as presented by Governor Phillip Lowe.

Board is committed to maintaining highly supportive monetary conditions to support a return to full employment in Australia and inflation consistent with the target.

Unlikely that labour market will be tight enough to generate materially higher wage growth until 2024 at the earliest.

Economic recovery in Australia is stronger than earlier expected and is forecast to continue.

Will be monitoring trends in housing borrowing carefully and it is important that lending standards are maintained.

The board places a high priority on a return to full employment.

Important ongoing source of uncertainty is the possibility of significant outbreaks of the virus.

At its July meeting, the board will consider whether to retain the April 2024 bond as the target bond for the 3-year yield target or to shift to the next maturity

At the July meeting, the board will also consider future bond purchases

This should diminish as more of the population is vaccinated

Progress in reducing unemployment has been faster than expected,

There are reports of labour shortages in some parts of the economy.

Inflation and wage pressures are subdued.

While a pick-up in inflation and wages growth is expected, it is likely to be only gradual and modest.