RBA Commentary on the Investment Boom in the Resources Sector

Investment Boom

In his speech today to the Committee for Economic Development of Australia, RBA Deputy Governor Philip Lowe gave some interesting commentary on recent developments within the Australian economy. Specifically interesting were his comments regarding the indirect effects of the investment boom in the resource sector:

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The Cappuccino Price Index – A Year in Review 2011

Cappuccino Price Index

For the uninitiated, the Cappuccino Price Index (CPI) monitors the price of espresso coffee in Australia. In their own words “Cutting through the noise of oil prices, inflationary trends, exchange rates, and The All Ords we talk about what really matters – the price of the cup of coffee.” It’s an interesting niche way to…

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Reserve Bank December Board Meeting Minutes

RBA

In its last meeting on the 6th of December, the Board decided to lower the cash rate to 4.25 per cent citing a potential slowdown in China’s growth, sovereign credit and banking problems in Europe and precautionary behaviour by firms and households. Today the detailed board minutes note that the decision was a difficult one,…

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