Reserve Bank faces rate hike pressure as market expectations dramatically shift

The RBA has held interest rates steady as the pressure builds for possible hikes as soon as February.

Two months ago markets were sure the RBA would cut rates by Christmas and again in 2026. Now they’re betting on hikes, possibly as soon as February.

Welcome to The Australian’s rolling coverage of business and markets news for Tuesday, December 9.

The ASX 200 index is down 0.3 per cent to 8599.4 points at 213pm AEDT before the RBA’s interest rate decision. NAB’s business survey showed weaker confidence and conditions.