Market Update: Rate Cut Expectations Strengthen

As of 30 May 2025, market data suggests a 73% probability of a cash rate cut at the Reserve Bank of Australia’s upcoming meeting on 8 July.

April’s inflation held steady at 2.4%, remaining within the RBA’s target band, easing concerns of persistent price pressure. While monthly CPI was marginally above expectations, volatility in these figures means the RBA remains focused on quarterly trends.

With economic indicators aligning, conditions appear favourable for the RBA to begin its rate easing cycle.

Borrowers should monitor whether any rate reduction is passed on and consider reviewing their loan arrangements accordingly. Even a small change in rates can present an opportunity to optimise repayments, cash flow, or refinancing options.

---

BE THE FIRST TO KNOW

Subscribe to receive future reports.

Complete the form below to receive timely and insightful information directly to your inbox. Make sure you never miss an update.