Claims extracted
21
sentences that state something as happening or true
Uncertain
5%
1 of 21 hedged
("reportedly", "may", "according to")
Leaning
not political
takes no side on a contested political question
Publisher signals
68/100
ABC News (AU)'s corrections and
hedging, across everything collected from it. Not a measure of accuracy.
Outlets on this story
2
Economy/Business
Same framing elsewhere
1
articles that frame the event the way this one does
In short:
The RBA deputy governor says there are signs some people do not expect inflation to come back to the RBA's target, which is "central banker's nightmare".
asserted
which → say → target
Markets are putting the chance of a November rate hike at 42 per cent.
asserted
Markets → put → cent
The RBA's rate-setting board will next meet at the beginning of November, with a decision handed down on Melbourne Cup day.
asserted
decision → set → day
Reserve Bank deputy governor Andrew Hauser says the inflation outlook is "materially worse" than the RBA had forecast, raising the prospect of another interest rate hike as soon as November.
asserted
RBA → say → November
Just under a fortnight out from the next interest rate decision, Mr Hauser warned high inflation was becoming entrenched in the Australian economy.
asserted
inflation → warn → economy
"We are beginning to see some signs that some people in the community are not sure if we're going to bring inflation back into target at all, or certainly not for an extended period," Mr Hauser told the Citi Investment Conference in Sydney.
asserted
Hauser → begin → Sydney
The RBA targets headline inflation between 2 and 3 per cent on average over time.
asserted
RBA → target → time
Inflation currently sits at 4 per cent, according to the August consumer price index.
uncertain
Inflation → sit → index
Mr Hauser said the central bank's liaison program and surveys showed there was "an increasing share of businesses who are thinking that, maybe, sort of 3 per cent, 3.5 per cent [inflation] is the new normal".
asserted
cent → say → businesses
"Look, that is the central banker's nightmare.
asserted
that → look → ?
"We can't allow expectations to shift away from target."
Market pricing now puts the chance of an interest rate hike in November at 42 per cent, based on LSEG data.
The odds of a hike next month had dipped below 20 per cent last week, after the unemployment rate reached a five year-high in September.
asserted
rate → allow → September
'Laying shorter-term pain on top of pain'
Mr Hauser reiterated the "hard choices" facing the RBA as it balanced the pressures on prices from the Middle East crisis, the AI and technology boom and weak productivity growth.
asserted
it → lay → crisis
Asked about the pain of higher interest rates hitting many households, on top of cost-of-living pressure, the deputy governor said: "It's a continuous challenge to explain this."
asserted
It → ask → this
"The reason is that, even though we are laying shorter-term pain on top of pain, it's to prevent a longer and potentially far worse pain down the track if inflation expectations get locked in," Mr Hauser said, echoing comments RBA governor Michele Bullock has made as the central bank has lifted rates.
asserted
bank → lay → rates
Mr Hauser downplayed concerns about the state of the jobs markets, saying there was potentially "noise" in the numbers, after the unemployment rate rose to 4.7 per cent in September.
asserted
rate → downplay → September
"That said, it clearly was a little weaker than we and others have been expecting," he said.
asserted
he → say → ?
"I stress the 'little'.
asserted
I → stress → little
He said "no lost job is one to celebrate" but the labour market needed to soften.
"
asserted
market → say → ?
We need to see some easing in the economy, whether [the unemployment rate] goes to 5 [per cent], whether it goes to some other number," Mr Hauser said.
asserted
Hauser → need → number
"That's a debate we're having in the context of our forecast at the moment, and you'll see our answers to that in a week or two."
asserted
you → have → week
The Reserve Bank will release its quarterly forecasts in its Statement on Monetary Policy on November 3, the same day the interest-rate-setting board next hands down a decision.
asserted
board → release → decision
The Aporia
