Charting the way to a Reserve Bank reversal

The central bank’s latest quarterly statement on monetary policy revealed its true concern over global conditions, including inflation and trading partner GDP. But a close read of its graphs also pinpoints areas of hope.

The Reserve Bank Quarterly Statement on Monetary Policy always allocates a considerable amount of space to global economic and financial market conditions. The SOMP from last Friday seems to have ramped up the analysis of global conditions a touch more than usual, with a comprehensive assessment of where the world and the different parts of it are going.

The SOMP includes some wonderful graphs on various aspects of the global economy and several of the more interesting ones are set out below.

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