Emerging Asia Economics Update
Australia's central bank considers rate cuts
The Reserve Bank of Australia (RBA) held its cash rate at 4.75% today, as was widely anticipated. But given the shift in the tone of the RBA’s commentary and our recent downgrades to global growth forecasts, we have revised our view and no longer see hikes between now and the end of next year. Instead, we now believe that the RBA will be forced to cut its cash rate to support growth.
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