Westpac are now looking for a 40bp RBA interest rate hike in June

The RBA next meet on May 3. The consensus is for no change in the cash rate at this meeting.

The Australian election is then on May 21.

The RBA meeting following this is June 7.

WPAC reasoning for the change in their forecast:

• Following an expected substantial lift in underlying inflation for the March quarter and a fall in the unemployment rate from 4% to 3.8% in April we expect the RBA will decide to lift the cash rate by 40 basis points at its Board meeting on June 7.