RBA expected to kill rapid-fire rate cut hopes, say economists

The Reserve Bank of Australia will signal as early as next week that its run of interest rate cuts is nearing an end, according to economists and analysts, dampening market expectations of a deeper reduction as central banks contend with the impact of the Trump administration’s tariffs.

The central bank is widely expected to lower the cash rate by a quarter of one percentage point to 3.6 per cent at a two-day meeting that ends on August 12. The move is anticipated because core inflation, the RBA’s preferred measure, was 2.7 per cent in the 12 months to June, showing a downward trend.

Source: https://www.afr.com/markets/debt-markets/rba-expected-to-kill-rapid-fire-rate-cut-hopes-say-economists-20250801-p5mjkc