Michele Bullock

Bullock stated that Australia sets its interest rates based on domestic circumstances, noting that we have been less restrictive compared to some others.

Having first been skeptical about the appointment of Bullock, my first impressions seem to be wrong.

Measures of inflation since November have developed in line with the RBA’s expectations, prompting the bank to put the cash rate on hold for December.

‘This shift from mainly supply-driven to mainly demand-driven inflation has been a part of our inflation outlook for some time,’ said RBA governor.

Inflation in Australia is still too high, the RBA said