The RBA is poised to cut rates on Tuesday, but nobody knows what it will do after that
Almost everyone agrees there will be a 25bps easing of the cash rate on Tuesday. But opinions are divided on what its next more after that will be.
The Reserve Bank will decide on rates again this week and deliver a new set of forecasts for the first time since the 'Liberation Day' tariffs announcement in the United States. With a cut widely expected to be on the cards, the bigger question is: where to from here?
Here’s what you need to know about the key economic data releases this week.
Rate cut expectations
What: Reserve Bank of Australia May rate decision and statement on monetary policy
When: Tuesday 20 May 2025
What to expect: The vast majority of economists, and the markets, are overwhelmingly anticipating a 25 basis point rate cut on Tuesday as inflation returns to target and the global outlook has soured somewhat since the last meeting due to US President Donald Trump's tariffs.
