RBA still expect 3% growth - UOB

Analysts at UOB Group explained that the Reserve Bank of Australia June Rate Meeting Minutes on Tuesday (20 Jun) showed that the central bank continued to believe it is appropriate to keep accommodative stance of policy unchanged. 

Key Quotes:

"The RBA noted that it is watching labour and housing markets carefully and even as house prices are rising briskly in some markets, there are tentative signs the pressure is starting to ease."

"Meanwhile, low household income growth, and high debt posed risks to outlook for consumption.'

"RBA still expected GDP growth to accelerate to 3%over time, despite soft Q1 outcome. It highlighted that retail conditions remained challenging and that a rising AUD would complicate economic adjustment."