Welcome to our live coverage of the announcement of May of RBA. We will keep it updated with the announcement and expert comments of our economists.
Economist predicts a cut or 0.25%
1:47 pm
The market price implies a very high possibility of a 25 -base cut (BP) this afternoon, according to the Executive Manager of Economics of the Rea Group, Angus Moore.
“Given the underlying inflation, it is now back inside the RBA target band, although alone, I would be surprised if the RBA was not looking to cut,” he said.
“While the market price has suggested some possibility of a 50 bp cut, that seems less likely now.”
Concerns about tariff pressures
1:32 pm
Australia’s economic position could be very easy and drastically if a commercial war between China and the United States begins.
The temporary pause of American tariffs on China announced last week is a positive signal for commercial tensions, he thought that it remains a temporary measure.
It is likely that the expectations for cutting australia tariffs for the year cool if the pressures resurface.
Another record month to the high month for housing prices
1:17 pm
Housing prices throughout Australia reached another record in April, he thought that the growth rate was slower than in the first three months of the year.
If we see more RBA rates cuts, as anticipated, we could see the speed of price growth once again.
The average price of a house in Australia is currently $ 805,000.
Latest large bank predictions
1:01 pm
NAB has predicted a double rate cut today as three more cuts in December.
Westpac anticipates a cut today, as well as in August and November, with ANZ also predicting three more cuts this year.
Commonwealth Bank, the largest lender in Australia, forecasts a trimester rate cut by 2025.
Double rate cut rumors
12:46 pm
The conversation of a rate cut of 0.50% has been abundant since the last meeting of the Board, thanks in large part to the comments made for the first time by the treasurer Jim Chalmers in the period prior to the elections.
The National Australia Bank (NAB) is the only important bank that predicts a double rate cut for today, with chief economist Sally Auld who says that the RBA needs to quickly bring its policy to a more neutral position.
Inflation of the core again in the target band
12:33 pm
The average trimmed inflation is currently at its lowest level by quarterly reading in more than three years.
Upon reaching 2.9% for the year to April 30, it is also back in the target range of 2-3% RBA for the first time since December 2021.
This fall, within the Target range is the key piece of the puzzle, Governor Michele Bullock has repeatedly said that he is waiting to see.
What predicts markets for today?
12:22 pm
The predictions of the market of a rate cut have been stable during the last two weeks in the Australian values exchange rate indicator.
As of May 19, the indicator shows the possibility of a rate cut of 0.5% to 3.60% to 51%.
It is the decision of cash rates
12.02pm
Welcome to our live coverage
Hello and welcome to our live coverage of today’s cash rate.
After maintaining the cash rate at its last meeting, the Australian Reserve Bank is widely predicted that it will announce a cut later this afternoon.
The current cash rate is 4.10%.
Do RBA governor rates Michele Bullock reduce rates? Image: Monique Harmer
