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Philip Lowe, RBA  Governor, is speaking at a breakfast meeting in Canberra but there have been no particular comments to monetary policy although Lowe does expect that the next move in rates will be up, not down.

Key Comments:

  • “Interest rates go up and down.”
  • “It is nearly eight years since the previous increase in interest rates by the RBA – This means that many borrowers have never experienced a rise in official interest rates.”
  • “Over recent times the Australian economy has been improving.”
  • “If we continue on this current improving track, as we expect we will, it is likely that the next move in official interest rates will be up, not down.”
  •  While I would expect housing prices to trend higher over time as our incomes increase, there is no guarantee that your home will be worth more tomorrow than it is today.  

About Lowe:

Philip Lowe  replaced Glenn Stevens as governor of Australia’s central bank. Lowe was the Deputy Governor of the  Reserve Bank of Australia, a position he held since February 2012.