The author has been described by News Ltd as an "iconoclast", "Svengali", a pollie's "economist muse", and "pungently accurate". Fairfax says he is a "Renaissance man" and "one of Australia’s most respected analysts." Stephen Koukoulas concludes that he is "85% right", and "would make a great Opposition leader." Terry McCrann claims the author thinks "‘nuance’ is a trendy village in the south of France", but can be "scintillating" when he thinks "clearly". The ACTU reckons he’s "an enigma wrapped in a Bloomberg terminal, wrapped in some apparently well-honed abs."

Friday, November 4, 2011

Bloxham: Inflation contained, so rates at neutral

Paul Bloxham has this to say about today's RBA Statement on Monetary Policy, which, it must be said, was very predictable:

"Today’s official statement confirms that Tuesday’s rate cut was a tweak back to neutral, given reduced inflation concerns, rather than a response to global woes. Revisions and a low Q3 CPI print saw the RBA significantly cut its inflation forecasts, despite still expecting above trend GDP growth. Underlying inflation now stays in the target band. Global downside risks are acknowledged and it’s clear that if these became heightened, we could see further RBA cuts. On their current central global forecasts, and ours, the neutral setting seems appropriate, but downside global risks remain. We have them on hold."