National Australia bank have changed their forecast timing on the next Reserve Bank of Australia rate cut from May to August
- They cite a better flow of data
- But say a still rising unemployment rate will see the RBA cut again
- They're looking for August but caution that may change depending on the flow of data
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I can't remember who I heard it from ... but after yesterday's slightly (very slightly) firmer inflation data the RBA have 'scope' to cut, but no additional pressure to do so. At this stage I reckon the 'no cut' in May call from NAB is likely the correct one. (Oh, and I should add .... a 'no cut' call is a pretty lonely place to be at present).
