RBA Holds Rates at 4.35% Amid Optimistic Inflation Forecasts

The Reserve Bank of Australia (RBA) has kept interest rates on hold at 4.35 per cent, in a unanimous decision announced today.

This move comes after recent data showed that headline inflation cooled slightly in June and property prices declined more than expected in the past few months.

While some economists have been warning that underlying inflation remains too high, the RBA's latest forecasts suggest a more optimistic picture, with inflation potentially peaking lower than previously feared.

RBA Governor Michele Bullock highlighted during her press conference that the risks to inflation remain on the upside, including the ongoing Middle East conflict.