Opinion
The underlying dynamics of Australia’s economy are very different to what is happening in the US. The cash rate is still too low to ensure inflation sustainably returns to target.
With no smoking gun from last week’s quarterly inflation result, the Reserve Bank of Australia board has nowhere to go on rates this week.
And if it is not tightening, then it is easing. The Australian market is now pricing in a rate cut within six months.
Fetching latest articles
Original URL: https://www.afr.com/policy/economy/no-smoking-gun-to-lift-rates-but-rba-should-still-pull-trigger-20240731-p5jy5f
