RBA shocks markets by holding rates at 3.85 percent despite disinflation and rising pressure on borrowers

By Global Desklast Updated

RBA shocks markets by holding rates at 3.85 percent despite disinflation and rising pressure on borrowers

The Reserve Bank of Australia surprised markets by holding the cash rate at 3.85%, despite expectations of a cut. This decision, driven by a split board, hinges on upcoming inflation data due in late July. While acknowledging the disappointment, officials emphasize a cautious approach, awaiting confirmation of sustained disinflation before resuming rate cuts, amid global economic uncertainties.

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