According to Jinshi data reports, the Reserve Bank of Australia has kept the cash rate unchanged at 3.85%, while the market had previously expected a 25 basis point cut. Since inflation peaked in 2022, high interest rates have prompted demand and supply to tend towards balance.
The committee believes that the current economic situation is developing largely as expected and has decided to wait for more information to confirm whether inflation can sustainably decline to the target of 2.5%. Global economic uncertainty remains high, and although the scope of U.S. tariffs is not yet clear, financial market prices have rebounded.
The development of trade policies is expected to have a negative impact on global economic activity, and there remains a risk that households and businesses will postpone spending.