Westpac revise its RBA forecast – see later however quicker rate of interest cuts

Westpac had been forecasting a February 2025 fee reduce however have pushed that out to Could 2025.

In short:

• We have now revised our view of the probably situation for the trail of the RBA’s money fee, pushing out the beginning date of the rate-cutting cycle from February to Could.
• Much like the sample in some peer economies, we count on the preliminary strikes to be considerably front-loaded, with consecutive cuts in late Could and early July.
• That is additionally a change from our earlier expectation of a average tempo of decline of 1 reduce per quarter.
• We proceed to count on the terminal fee to be three.35%, to be reached by year-end 2025.

Present RBA money fee is four.35%

This text was written by Aaron Cutchburt at www.ubaidahsan.com.



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