RBA Vice-President Kent: Alerting inflation risk, further interest rate increases possible

IN HIS MOST RECENT STATEMENT, CHRISTOPHER KENT, VICE-PRESIDENT OF THE RESERVE BANK OF AUSTRALIA (RBA), NOTED THAT INFLATION RISKS TENDED TO GO UP AND COULD INCREASE INTEREST RATES FURTHER. HE STRESSED THAT WEAK PRODUCTIVITY GROWTH MADE THE ECONOMY MORE VULNERABLE TO INFLATIONARY PRESSURES IN THE FACE OF DEMAND. IN ADDITION, KENT REFERRED TO THE SEEMINGLY EXCESSIVE VALUATION OF CERTAIN STOCK MARKETS, AN OBSERVATION THAT ADDED A CAUTIOUS DIMENSION TO THE ASSESSMENT OF THE FINANCIAL STABILITY OF RBA。