The Reserve Bank of Australia (RBA) will likely hold interest rates at a record low of 0.25% at its monthly policy meeting on Tuesday, according to 36 economists polled by Reuters.
However, economists expect the bank to cut rates to a new record low of 0.10% from 0.25% in November.
Key points
As many as 25 of the 36 surveyed, or 70%, expect no change to policy at the Reserve Bank of Australia’s (RBA) Oct.6 board meeting.
10 economists predict a 15 basis point cut to 0.1% while one forecast a ten basis point cut to 0.15%.
The RBA cut the cash rate to 0.25% in March and launched an unlimited bond-buying program to keep yields under pressure and help the economy absorb shocks arising from the coronavirus crisis.
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