Interest Rates in Australia Expected to Stay on Hold

The big four banks in Australia are predicting interest rates to remain on hold as representatives gather at the Reserve Bank of Australia (RBA) meeting on June 18. Members of the RBA are holding a two-day meeting from June 17 to discuss monetary policy and are expected to provide an update on interest rates at 2:30 p.m. The official interest rate in Australia is currently at 4.35 percent, with multiple banks predicting a cut is unlikely until November. Commonwealth Bank of Australia said it expects the cash rate will be left unchanged at the June Board meeting in a “straight forward decision.” Explaining this reasoning, senior economist Belinda Allen said both the first quarter 2024 national accounts and labour market data have largely been in line with the RBA’s latest forecasts....