Deputy Governor of the Reserve Bank of Australia Debelle said unemployment could fall further before wages rise. His main comments were as follows:
- The conditions of the labor market are good.
- Employment is expected to grow slightly more than expected in the next six months
- Above average economic growth to gradually reduce labour spare capacity
- I expect there will be an increase in wages and inflation at a gradual pace
- Unemployment may fall more than in the past before wages rise
- Unemployment may decline faster if participation rate stabilizes
- The Bank draws attention to lower house prices
- A decline in AUD may help give the economy some support
- It is beneficial for our economy that the Fed pushes AUD lower
