This is via the folks at eFX.
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Citi discusses its expectations for tonight's RBA policy decision.
- "Focus on markets' attention now draws to the RBA rate decision ... where we think risks are tilted hawkish post the CPI beat in January. We also expect a revision to inflation forecasts CitiFX Strategy notes the RBA looks set to hike rates by 25bps in its meeting this week, and the hike alone is unlikely to move AUD crosses," Citi notes.
- "Forward guidance and peek to the Feb SoMP will be in focus, and our base case is for AUD crosses to trade higher as the terminal rate looks underpriced by the market," Citi adds.
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Other RBA previews:
- RBA meet February 7 - preview. Poll finds 30 of 31 analysts expect a 25bp rate hike.
- Deutsche Bank forecast 25bp rate hikes from the RBA in February, March, May and August
- CBA forecast one more 25bp RBA rate hike, terminal rate of 3.35% (there's a 'but' though)
- RBA meet on February 7 - preview - 25bp rate hike cemented in, then another in March
- RBA "Shadow Board" recommends a +25bp interest rate rise on February 7
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In Citi's comments they refer to the SoMP. This is due on Friday:
