Please click the link below to view Shane Oliver's reasons why the RBA was right to slowdown interest rate rises.
Key points raised are
- The RBA sensibly dropped back to a 0.25% hike this month taking the cash rate to 2.6%.
- The RBA is signalling more hikes ahead though.
- Slowing the pace of rate hikes makes sense. The RBA needs time to assess the impact of previous rates hikes.
- Shane Oliver still sees the cash rate peaking at 2.85% but acknowledge upside risk to 3.1%