The Reserve Bank of Australia monetary policy decision is due at 0430 GMT on September 6 2022.
Westpac have published a what to expect, this in brief:
- We are confident that the Board will decide to raise the cash rate by a further 50 basis points to 2.35%.
- Raising the cash rate by 50 basis points will move the cash rate into the “neutral zone”.
In recent speeches (19 and 20 July) the Governor and Deputy Governor assessed “neutral” is at least 2.5%.
Further ahead:
- we expect the Board will decide to slow the pace of increases to 25 basis points from the October meeting.
This second stage of the tightening process, with consecutive 25 basis point increments, is expected to extend out to February next year with the rate peaking at 3.35%.
