By forex calendar in RBA Assist Gov Hunter Speaks —

AUD RBA Assist Gov Hunter Speaks, Feb 12, 2026

What RBA Assistant Governor Hunter's Latest Insights Mean for Your Wallet

Melbourne, Australia – February 12, 2026 – Ever wonder how the big economic decisions made by the Reserve Bank of Australia (RBA) actually trickle down to your everyday life? From the price of your groceries to the interest rate on your mortgage, the RBA plays a crucial role. Today, all eyes are on Assistant Governor (Economic) Sarah Hunter as she speaks, and her words are crucial for understanding where Australia's economy might be heading. While there aren't "headline numbers" in the traditional sense from this particular event, Hunter's public engagements are always a focal point for economists and traders alike, often providing subtle clues about the RBA's thinking on vital economic matters.

Sarah Hunter: The Economist Behind the Rate Decisions

Sarah Hunter, who took on the role of Assistant Governor (Economic) in January 2024, holds a significant position within the RBA. Her primary responsibility is advising the RBA Board members – the very individuals who decide on the nation's official interest rates – on all things economic. This means her insights into the current economic landscape, particularly concerning employment and inflation, carry substantial weight. When she speaks publicly, especially in moderated discussions like the one hosted by the Committee for Economic Development of Australia in Perth today, it's not just an academic exercise. These events are closely watched for any hints, however subtle, about future monetary policy shifts. Understanding her perspective can give us a clearer picture of what to expect for our household budgets.

Decoding the Discussion: Full Employment and the Labor Market

Today's event centers on the RBA's perspective on "full employment" and the current conditions within Australia's labor market. But what does "full employment" actually mean in plain English? It's not simply a situation where every single person who wants a job has one. Economists often refer to it as a level of employment where unemployment is at its lowest sustainable rate, without causing excessive inflation. Think of it as the sweet spot where the economy is humming along, with plenty of job opportunities but without an overheated labor market that could push prices up too quickly.

The RBA uses indicators like the unemployment rate, job vacancies, wage growth, and participation rates to gauge how close we are to this "full employment" state. For example, if job vacancies are very high and it's hard for businesses to find workers, it suggests the labor market is tight. This can lead to businesses offering higher wages to attract staff, which, in turn, can increase consumer spending and potentially lead to higher prices for goods and services – a scenario the RBA monitors closely. Conversely, if unemployment starts to creep up and job vacancies fall, it signals a softening in the labor market.

What Does This Mean for You and Your Money?

The nuances of Sarah Hunter's address today are particularly relevant because they can influence future interest rate decisions. If Hunter signals a more optimistic outlook on the labor market and perhaps suggests that inflationary pressures are still present or even building, this could be interpreted by the market as more "hawkish." "Hawkish" is a term used in finance to describe a stance that favors tighter monetary policy, typically by raising interest rates to curb inflation.

  • Mortgage Rates: If the RBA leans towards a more hawkish stance and interest rates rise in the future, this directly impacts your mortgage repayments. Higher rates mean higher monthly payments, reducing your disposable income.
  • Savings and Investments: Conversely, higher interest rates can mean better returns on savings accounts and potentially more attractive investment opportunities in fixed-income products.
  • Job Security and Wages: A strong labor market, as discussed by Hunter, generally points towards good job security and the potential for wage increases. If the RBA feels the economy is at or near full employment, they might be more inclined to keep interest rates stable or even consider a hike if inflation becomes a concern.
  • Consumer Spending: When people feel confident about their jobs and earning potential, they tend to spend more, which is good for businesses and the overall economy.

Trader Talk: What the Markets Are Watching

For traders and investors, comments from RBA officials are gold dust. They aren't just listening to the words; they're analyzing the tone, the emphasis, and any subtle shifts from previous statements. A more hawkish speech from Hunter could lead to an appreciation of the Australian Dollar (AUD) as investors anticipate higher interest rates, making AUD-denominated assets more attractive. Conversely, any indication of concern about economic weakness could lead to a weaker AUD. The "impact" of this particular release is marked as "Low," suggesting that significant market volatility isn't immediately expected. However, the underlying sentiment and forward-looking commentary from Assistant Governor Hunter will be meticulously dissected for any longer-term implications.

Key Takeaways:

  • RBA Assistant Governor Sarah Hunter is speaking today, offering insights into the RBA's view on full employment and the labor market.
  • Her comments can provide clues about future interest rate decisions, impacting mortgage rates and savings returns.
  • A "hawkish" tone from Hunter suggests a greater likelihood of interest rate hikes, potentially strengthening the Australian Dollar.
  • Traders and investors closely monitor these speeches for signals about the economic outlook and monetary policy direction.

While today's event might not present dramatic headline figures, the analysis and perspective shared by RBA Assistant Governor Sarah Hunter are vital for understanding the economic forces at play. Her insights help paint a picture of the current economic health and, more importantly, offer a glimpse into how the RBA might navigate the economic landscape in the months ahead, directly affecting your financial well-being. Keep an eye on these discussions; they're more relevant to your wallet than you might think.