Traders have pushed back expectations the Reserve Bank will soon follow the path of the US Federal Reserve, which kicked off its easing cycle with a jumbo interest rate cut.

The world’s most important central bank slashed its policy rate for the first time since the pandemic by 0.5 of a percentage point to the 4.75 per cent to 5 per cent range on Wednesday (Thursday AEST), saying it had greater confidence that inflation was moving sustainably towards its 2 per cent target.