The fallout on the economy and financial markets from the uncertain outcome of the Federal election will probably be relatively mild and short-lived and is unlikely to prompt the Reserve Bank of Australia to cut interest rates from 1.75% to 1.50% at tomorrow’s policy meeting. And it is concerns over the weak outlook for inflation, not the political outlook, that will trigger a rate cut to 1.50% in August.
Subscriber content
Read this in full, free
Start a free trial and use one of your 10 free starter credits to unlock this piece.