Rate Rise?

A rate rise today is a bit of an even bet - possibly a 60% chance of a rise. There are factors weighing on each side of the scales so the RBA could go either way. Greece, sited last month when they paused, is still unresolved but China, and the stimulatory potential it holds for the future can't be discounted. The USA is showing signs of uneven growth while our capital investment shows optimism for the future despite weaker private sector wages figures.

One thing can be sure though, if they don't tighten today a rate rise isn't far away. Our monetary policy setting is still very accommodating and the RBA is eager to get it back to a neutral setting between 4.50% and 5.00% at the first available opportunity.