Economics
Australia Investors Bracing for QE Within Months
- RBA could start quantitative easing measures mid-year: Nomura
- Nikko Asset is long semis, Kapstream favors short-dated bonds
Pedestrians walk past the Reserve Bank of Australia headquarters in Sydney, Australia.
Photographer: David Gray/BloombergThis article is for subscribers only.
A coronavirus-driven Australian slowdown may trigger unconventional monetary policy as soon as the middle of the year, according to market participants readying for QE.
The Reserve Bank of Australia may kick-start a bond buying program in a few months to buoy a battered economy, said AMP Capital Investors Ltd. Meanwhile, Kapstream Capital, BlackRock Inc. and Nikko Asset Management Ltd. are among funds that have been purchasing bonds in anticipation of further interest-rate cuts and the arrival of quantitative easing.