RBA Expected to Raise Rates for Fourth Time This Year
The Reserve Bank of Australia is expected to raise interest rates for the fourth time this year at its meeting on September 28-29. Economists and traders are closely watching the upcoming jobs data and Reserve Bank appearances ahead of the decision.
Reserve Bank Governor Michele Bullock has taken a more hawkish tone in recent commentary, indicating that getting inflation back to target is the main priority, even if it means sacrificing some jobs growth. The bank's leadership is anxious to move on rates, despite previously preferring to wait for quarterly inflation data.
Westpac Chief Economist Luci Ellis has brought forward her rate rise prediction from November to September based on Bullock's comments. JP Morgan analysts expect the unemployment rate to hold steady at 4.5% and an employment gain of 15,000, which they believe will not alter the Reserve Bank's outlook for the labour market.