We're still looking for an easing later this year.

But we aren't in charge of the policy lever.

We have pushed out the timing of the monetary policy easing to June and reduced the cumulative amount through 2006 to 75 basis points.

It was obviously a technical bounce after a very weak run, which was always the risk.

With the economy growing below potential, labor market indicators probably continued to ease. The survey should be relatively friendly for those expecting easier monetary policy later in the year.

Fundamentally, we believe that at this point in the cycle, after one year of sub-trend growth and facing the prospect of one to two more years of the same, and with inflation peaking, the bank shouldn't be tightening policy further,