Central Banks
Economists Split on Whether Australia Will Pause Tightening
- Nineteen expect RBA to stand pat, 11 see quarter-point hike
- RBA call closely watched after Fed, ECB hiked amid bank crisis
Shoppers at the South Melbourne Market in Melbourne, Australia.
Photographer: James Bugg/BloombergThis article is for subscribers only.
Economists are divided over whether the Reserve Bank of Australia will raise interest rates for an 11th consecutive meeting or pause its most aggressive tightening cycle since 1989 amid cooling economic momentum.
Nineteen economists surveyed by Bloomberg News, including Commonwealth Bank of Australia and Westpac Banking Corp., forecast the RBA will stand pat at 3.6% on Tuesday, as do money markets. Goldman Sachs Group Inc. and ANZ Group Holdings Ltd. are among 11 that see a quarter-point hike to 3.85%.