UBS thinks the hurdle for an RBA cash rate cut has been lowered

For a UBS research note in respone to Friday’s Reserve Bank of Australia (RBA)’s Statement on Monetary Policy

They say

• RBA forecasts imply the hurdle for a rate cut has been lowered a little
• UBS still thinks that the cash rate will remain on hold in 2014
• First hike in Q2 2015
• Says the hurdle for a rate cut would rise again if “the recent pick-up in confidence, job ads and retail into Q3 continues”