The minutes of the Reserve Bank of Australia meeting held on the second of November and issued in the Asian session today, Tuesday, the 16th of November, two weeks later as expected, in which the Bank kept interest rates unchanged at 0.10% and decided to continue buying government securities at a rate of 4 billion dollars per week Until mid-February 2022, at the very least, the decision was taken to stop the 10 basis points target as a return on Australian government bonds by April 2024.

Members noted that the Australian economy is recovering after the interruption of growth caused by the outbreak of the Delta strain and that inflation has risen affected by the rise in gasoline and home prices and pressures in global supply chains. It is expected to rise more, but it will remain gradually.

The Bank affirmed its commitment to maintain the conditions supporting the return of full employment in Australia and the stability of the inflation rate on a sustainable basis between 2-3%, and that it will not raise interest rates until these conditions are met.

For his part, the Governor of the Reserve Bank of Australia, Philip Lowe, also spoke in the Asian session in a symposium in front of a crowd of economists, where he focused in his speech on inflation and recent trends in the world and within Australia, and the implications for the monetary policy of the Bank of these changes.

In terms of expectations, Philip Lowe expects the core inflation rate to rise more, but gradually, as he expects the core inflation rate to reach 2.25% next year and 2.5% in 2023, and that the wage price index will rise to 2.5% next year and stabilize at 3% in year 2023.

The Australian dollar is trading at 0.7356 levels against the US dollar this morning and before the opening of the European markets.