I don't think the that Stevens should be making comments like those at all, its not his business to start warning people of market crashes. Being a Banker I would treat his prediction with a fair amount of scepticism.
I think he should be concentrating on doing something about the Housing market and stop pussy footing around with some macro prudential method of controlling the housing market. When did it become the RBA's responsibility to talk markets up and down. Maybe he got upset because the RBA's smash on the aud didn't last very long. Just my opinion there as I think the RBA intervened in the currency market to push the aud down.
I think the RBA is pretty much powerless to stop the housing market from exploding unless they raise interest rates and even if they did its too late. They wont raise rates because the banks will get a big hit.
