A couple of other rate cuts calls from Australia - RBA seen at 0.5% by two banks

Author: Eamonn Sheridan | Category: Central Banks

I posted earlier on National Australia Bank expecting the Reserve Bank of Australia to cut to 0.75% this year:

Adding a couple more fresh calls today:
  • RBC forecast the RBA to 0.5%, by May of 2020 (cuts in August 2019, Feb and May 2020)
  • Macquarie also have a 0.5% cash rate expected in 2020
RBC citing:
  • Australian underemployment rate elevated, just 0.5% under below its historical high
  • Labour market slack is ample
  • A sustained period of above-trend growth and above-average employment generation is needed
  • Global developments also key, with the risk of a shift easier in the policy stance of global central banks, especially G7

By continuing to browse our site you agree to our use of cookies, revised Privacy Notice and Terms of Service. More information about cookiesClose