Reserve Bank's interest rate move unpredictability due to economic shocks, potentially delaying rate cuts.
Economy's unpredictability: Many shocks have disrupted the economy's usual behavior. The Reserve Bank's next interest rate move is uncertain, with RBA Governor Michele Bullock expecting a "bumpy" road. Normally, a rate cut would follow the inflation rate's descent towards the 2-3% target, but the Reserve's uncertainty might delay rate cuts until inflation is within its target zone.
June 02, 2024
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