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RBA HOLDS CASH RATE AT 4.35%

Interest Rate Decision:

  • The Reserve Bank of Australia (RBA) decided to maintain the country’s official interest rate at 4.35% during its May monetary policy meeting.
  • This interest rate level has been in place since last November.

Inflation Trends:

  • The latest data from the ABS indicates that annual inflation fell to 3.6% in the March 2024 quarter.
  • This is the fifth consecutive quarter in which inflation has eased.

Economic Outlook:

  • Despite the cooling effect of higher interest rates on the economy, RBA Governor Michele Bullock has cautioned that the “war isn’t won, yet.”
  • The RBA remains cautious and is not ruling out any further adjustments to interest rates.

Read the full statement here.