RBA leaves rates unchanged 7 months in a row, yet "economic outlook remains uncertain"

At 2:30pm this afternoon the Reserve Bank of Australia (RBA) released their monetary policy decision, leaving the cash rate unchanged for the 7th month in a row.

This decision comes with no surprise, with many economic analysts anticipating this outcome. However, in the RBA's statement, the Board outlined that,

Although inflation has fallen since its grand peak in 2022, the pace of deflation has since slowed down. Recent April data is mirroring December 2023 percentages, with the monthly CPI indicator rising by 3.6% in Apr. this year.

The RBA meets again in August. However, major banks are not expecting rate cuts anytime soon.

NAB, Westpac, and the Commonwealth Bank, expect interest rates to stay on hold until cuts start late this year while ANZ revised its call on Tuesday and is now pencilling in a February 2025 start for an easing cycle.