Nothing specific from the Governor of the Reserve Bank of Australia Lowe, just a mixture of speeches of encouragement and general observation.
Australia’s financial system is resilient and well placed to deal with covid-19
- existing capital and liquidity buffers can be used if necessary to support the economy
- important that lenders continue to support the flow of credit to the economy
- the future remains unusually uncertain
- an obvious source of uncertainty is the rate at which the various restrictions are relaxed
- another source of uncertainty is the level of confidence people have in their future
- crucial issue for us here in Australia is to restore people’s trust
- we remain ready to further increase bond purchases if necessary
- there is a limit to what can be achieved with monetary policy
Meanwhile, the AUD continues to drop for the session.