The Reserve Bank of Australia hold their first interest rate meeting on Tuesday.
They are likely to leave the cash rate unchanged, especially after the better unemployment rate we got last week and the slightly higher CPI we got this week (still under target it should be noted).
Here, in very brief, are a few points from Capital Economics preview of the meeting:
- Falling unemployment allows Bank to keep rates unchanged in February
- But GDP growth set to fall short of expectations and wage growth still soft
- we've pencilled in one 25bp cut in April and another one in July
