According to Jinshi Data, ANZ Bank has postponed its forecast for the Reserve Bank of Australia to cut interest rates from February next year to May, and expects only two 25 basis point rate cuts next year. The previous forecast was three.
The bank's head of Australian economics, Adam Boyton, said the revision was due to stronger-than-expected employment growth, an increase in hours worked, stabilisation of forward-looking labour market indicators, business conditions remaining at their long-term averages, and a boost to consumer confidence from the third stage tax cuts.