{"id":85953,"date":"2024-06-17T11:26:10","date_gmt":"2024-06-17T08:26:10","guid":{"rendered":"https:\/\/ironfx-com-php8.wp-dev.int.theitops.net\/?p=85953"},"modified":"2024-06-17T16:38:55","modified_gmt":"2024-06-17T13:38:55","slug":"rbas-interest-rate-decision-in-focus-3","status":"publish","type":"post","link":"https:\/\/www.smartchinaeducation.com\/ms\/rbas-interest-rate-decision-in-focus-3\/","title":{"rendered":"RBA\u2019s interest rate decision in focus"},"content":{"rendered":"

In the land of the down under, we highlight  RBA\u2019s interest rate decision which is to be released during tomorrow\u2019s Asian session. The majority of market participants are currently anticipating the bank to remain on hold, with AUD OIS currently implying a 97.4% probability for such a scenario to occur. It should be noted that the market also expects the bank to marginally remain on hold throughout the year, maybe proceed with a rate cut in December. Hence our attention turns to the bank\u2019s accompanying statement, where should RBA policymakers imply that the bank may cut interest rates this year, it could weigh on the Aussie. On the flip side, should it be implied that the bank may keep interest rates high for a greater period of time, it could instead provide support for the Aussie. On a fundamental level, one could argue that the slight tightening of Australia\u2019s employment market as implies by May\u2019s data and the fact that in April the CPI rates were still above the bank\u2019s target range could allow the bank to remain confidently hawkish, yet economic activity is easing and may add pressure on RBA to ease its hawkishness. <\/p>\n\n\n\n

\n