Want to create an interactive transcript for this episode?
Podcast: Beyond Currency
Episode: 18 May 2023 - Bailey is concerned about a price wage spiral
Description: Andrew Bailey spoke yesterday of his concerns that inflation is becoming embedded in the economy since the core is not falling as expected following eighteen months of rate increases.
While the markets continue to speculate about when the Bank will pause the cycle of hikes, Bailey confirmed that it will continue to hike rates until inflation falls to its two per cent target.
Bailey talked of his concern over two specific issues; the continued rise of food price inflation, which remains close to twenty per cent, and the tightness of the labour market, although the latest employment report showed that...