RBA Leaves Rates Unchanged, Industry Divided on Future Hikes

The Reserve Bank of Australia (RBA) recently left the official cash rate unchanged at 4.35 per cent, which was widely expected by industry experts.

Katherine Palmer from BlackRock Australia noted that this decision gives the RBA more time to assess whether its three consecutive hikes earlier in the year are working as intended.

While growth momentum is slowing down, inflation remains stubbornly above target at 3.6 per cent, according to VanEck's Head of Investments & Capital Markets Russel Chesler.

Chesler predicts that there remains a strong case for the RBA to hike again, citing underlying inflation and domestic pressures such as housing prices rising 6.8 per cent over the year.