Cash rate held steady at 4.35%

The Reserve Bank of Australia (RBA) left the cash rate unchanged at 4.35% following its June monetary policy meeting.

This marks the fifth consecutive meeting at which the cash rate has been held since the last increase in November 2023.

The decision comes as the latest data from the Australian Bureau of Statistics showed that monthly annualised inflation rose in April 2024 by 3.6%, up from 3.5% in March.

Recently, RBA governor Michele Bullock said the central bank is doing what it can to prevent high inflation from taking hold. Higher interest rates have been working to stabilise the economy but there are still indications of excess demand which, coupled with the tight labour market, means the economic outlook remains uncertain.