• RBA maintains a somewhat more muted easing bias, saying low inflation “might” provide scope to cut the cash rate if “required to support demand”.
• The AUD’s decline was still not in line with the fall in export prices. Further AUD falls are possible (and desirable).
• We expect another RBA cash rate cut to 2.50% in August, after the June quarter CPI data.
Read the full report: Market Research
Commonwealth Bank