Economic growth is expected to hold in a 2.75-3.25 per cent band over 2017. The Reserve Bank expects inflation to gradually lift back towards the 2-3 per cent target band.

Firm domestic economic growth and an improvement in global economic growth should lead to a modest uptrend in inflation. But at the other end of the equation, technology and globalisation will continue to cap inflationary pressures.

At present we think the Reserve Bank will stay on the interest rate sidelines for much of 2017. The Reserve Bank still has the ability to cut rates if underlying inflation stubbornly remains below the low end of the 2-3 per cent target band.

ASX 200 Year in Review

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The Big Issues Of 2017

A look at the issues likely to influence the economy over the next 12 months, inlcuding the outlook for the housing market, Chinese economy & inflation.

Chartpack: Year in Review; Year Ahead

CommSec Chief Economist Craig James provides insights into the year that was 2016 and his forecasts for the global economy for the year ahead. 

Outlook for bond yields & interest rates

CBA Head of Fixed Income & Rates Research, Adam Donaldson provides his 2017 outlook for US bond yields and Australian interest rates.

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