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The Reserve Bank of Australia is sticking to its view that inflation will be temporary, despite its poor forecasting track record. Economists aren’t so sure.
Why have risk assets been so buoyant since April? No shortage of opinions, so which is right?
In its latest quarterly statement on monetary policy, the Reserve Bank of Australia declared its preparedness to “ease monetary policy further if needed”.
The third quarter capped the best year-to-date return for the Bloomberg Barclays US Aggregate Bond Index since the first nine months of 2002. Although bond prices may continue to advance, we anticipate lower returns may accompany a rise in volatility in coming quarters.