RBA has ‘asserted authority’ in its messaging to hold interest rates

Former Howard government minister Peter McGauran discusses messaging from the RBA saying inflation needs to be lowered further before an interest rate cut is possible. Annual inflation fell from 3.5 per cent to 2.7 per cent in August, according to data released on Wednesday. “The RBA has asserted its authority and it’s in the driver’s seat,” Mr McGauran told Sky News Australia. “Jim Chalmers, supported by his mentor Wayne Swan, tried to intimidate the Reserve Bank a few weeks ago, and the Reserve Bank governor, Michele Bullock, has held firm and is now turning it back on the government. “She [Michele Bullock] has turned it back on the government and said you are among the driving forces of high inflation and therefore high interest rates.”