SYDNEY, Feb 18 (Reuters) - Recent turmoil in global financial markets is likely overdone and has only limited implications for financial stability in Australia, a top central banker said on Thursday.
Reserve Bank of Australia (RBA) Assistant Governor Malcolm Edey said markets had been through several such episodes of turbulence in recent years but always recovered.
He noted there had been little in the way of fresh economic news to justify a major reassessment of the global outlook and recent weakness in oil prices would normally be considered a positive for growth.
"I think these points argue against putting an excessive focus on recent market movements," said Edey, who heads the central bank's financial systems division.
"It is relevant to note that market and media commentary often errs on the side of being unjustifiably gloomy."