Economist Brad Olsen suggests delaying interest rate cuts to 2025 due to slower-than-expected falling inflation, impacted by higher petrol prices, weak global growth, and Reserve Bank's target uncertainty.

Economist Brad Olsen suggests that interest rate cuts may need to wait until 2025 as inflation is falling slower than expected. Factors contributing to this include higher petrol prices, weak global economic growth, particularly from China, and uncertainty about the Reserve Bank's attempts to lower inflation to its 1-3% target range. Olsen warns that changing the inflation target could lead to further confusion and uncertainty.

April 28, 2024
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