Capital Economics: The Reserve Bank of Australia is expected to cut interest rates by another 75 basis points in the future
2025-08-12 06:16:02
Capital Economics economist Abhijit Surya said the RBA cut reflected market expectations for further easing. The RBA is expected to cut interest rates to 2.85% in the coming period from the current 3.60%. The RBA noted that the scope and scale of US tariffs were slightly clearer and believes the risk of a more extreme outcome has diminished. However, trade tensions will weigh on household and business spending for some time.
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