No Hints for the Next RBA Rate Cut

The Reserve Bank of Australia (RBA) reveals to everybody that they don’t give any direct hint on the future about Interest rate cut which everybody projects and expects that there will be another rate cut next month. The minutes touched on keeping rates on hold and the fixed income market is still fully pricing in a rate cut this coming months. According to Westpac Economist Bill Evans, “Given the huge emphasis which the Bank has placed on downside risks to the global economy as justifying the cut in November, the decision in December will hinge on those global developments”. Based on the minutes, we still remain comfortable with the original projected view which might bring to positive decision about cut rates forward from February to December.