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RBA Keeps Rates on Hold Heading Into the Holidays
Inflation remains above the target band, with CPI rising 3.8% year-on-year, leading the RBA to pause rate cuts at 3.6%, signaling potential end of easing cycle.
- On Tuesday, the Reserve Bank of Australia board held the official cash rate at 3.6 per cent at its final 2025 meeting, a decision widely expected by economists.
- With CPI and trimmed mean inflation running above the RBA's 2–3 per cent target, the board said risks have tilted to the upside and remains cautious.
- Recent figures show inflation has picked up and is proving more persistent than earlier forecasts, and household spending more than doubled economists' expectations.
- As a result, households face no interest‑rate relief before Christmas after the RBA left the cash rate unchanged, offering no help for families struggling to make ends meet.
- For 2026, considerable uncertainty remains as experts surveyed by Finder split between one rate rise and one cut, while markets price possible hikes amid inflation surprises.
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Total News Sources71
Leaning Left39Leaning Right3Center1Last UpdatedBias Distribution91% Left
Bias Distribution
- 91% of the sources lean Left
91% Left
L 91%
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