Is the RBA joining the ranks of the currency manipulators?

This comment was made this week at http://www.macrobusiness.com.au  (link may be locked)

http://www.macrobusiness.com.au/2015/02/us-iron-ore-ceo-says-oz-manipulating-currency/#comment-1058526

That CEO is exactly right.

It is quite clear that while the RBA are refusing to admit it the interest rate change yesterday was about nothing more than currency manipulation.

It is bad enough that they are doing that but doing it in secret compounds the sin.

We have a floating exchange rate for a reason and that is because second guessing it is a game for mugs.

Now before you all fall off your stools let me be clear.

Adopting regulations that limit unproductive capital flows will affect the currency but only as an indirect result of preventing the importation of financial bugs and vermin.

No different to the indirect impact on the price of bananas of preventing the import of bananas from regions afflicted by banana VD (or whatever it is they get).

The RBA are keeping their currency manipulations secret because they are grubby and below board and when people realise the ponzi asset and debt bubbles are taking off yet again they know they will cop the blame.

So Australia becomes a “hush secret” currency manipulator because the obsessional belief in unregulated unproductive capital flows is not open to question or serious debate.

Flawse – time for some of those angry words you do so well !!

Along with http://www.macrobusiness.com.au/2015/02/us-iron-ore-ceo-says-oz-manipulating-currency/#comment-1059578

Yes,

My preference is that they are not talking about currency simply because the objective of the cuts remains the Debt Machine and the RBA would state if the objective of the cuts was to influence the exchange rate. Afterall it is not as though market in Fx by a CB is anything weird.

Mainly just illustrating that if one accepts, as many seem eager to, that the rate cuts are all about softening the dollar then it is an exercise in currency manipulation and one without an explicit acknowledgment of that objective by the RBA.

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