After taking a breather, Australia is set to resume tightening rates next week:
THE Reserve Bank will almost certainly lift the official interest rate by 25 points next Tuesday.
Both the governor Glenn Stevens and his deputy Ric Battellino have ‘told us so.’
Not, obviously, in specific words. Indeed they haven’t even yet ‘told’ their fellow board members. The management’s recommendation will be finalised and sent to board members today.
Further, any prediction of what might emerge from Tuesday’s meeting has to carry one big and one small asterisk.