FXStreet (Bali) - Today's RBA Statement on Monetary Policy will give a formal update to the Bank’s growth and inflation forecasts, notes RBS, expecting inflation forecasts to be revised down modestly. Key Quotes "The RBA releases the Statement on Monetary Policy (SoMP), which will give a formal update to the Bank’s growth and inflation forecasts." "From the November post-decision statement earlier this week, we know that the RBA maintained the view that a moderate expansion in the economy is continuing and “the prospects for an improvement in economic conditions had firmed a little over recent months.” "Both of these phrases suggest that the growth forecasts may be little changed. But inflation forecasts may be revised down modestly amid challenges to growth abroad." "Despite “firming” prospects for growth at home, the RBA nevertheless noted this week that “the outlook for inflation may afford scope for further easing of policy.” "On the housing market, Governor Stevens noted in a speech last night that the market “may be calming, though by how much and how persistently we can’t know yet." For more information, read our latest forex news.