On a February afternoon in Sydney's financial calendar, the Reserve Bank of Australia's board reconvened for the final day of its rates meeting, poised to decide whether the long stillness of the past several years will finally give way. Since 2020, borrowers have lived with the cost of money as it stood, and a cut now expected by most forecasters would ease that weight for millions of households. The moment also carries a quieter political current, as a government nearing an election would find such relief welcome. What is certain is only the anticipation; the decision itself, due at 2:30pm A
RBA Expected to Cut Interest Rates for First Time Since 2020, Markets Anticipate Relief
A long wait for borrowers: the first cut since 2020 is expected
Mark
Why is a single rate decision getting a full day of live coverage?
Mimi
Because it touches millions of households at once. The cut would be the first since 2020, so borrowers have waited a long time.
Mark
And the board meets over two days?
Mimi
Yes. They met yesterday to thrash out their thinking, then reconvene this morning before announcing at 2:30pm AEDT.
Luke
Worth being clear: nothing has been decided in what we've read. This is expectation, described as overwhelming, but still a forecast.
Mark
Where does the politics come in?
Mimi
The federal government is fast approaching an election deadline, so a cut would be welcome news for it. Courtney Gould is reporting from Parliament House on that.
Luke
The source says it would be welcome, but it doesn't say how much it would help or how voters might react. That part is unsupported so far.
Mark
And the market side?
Mimi
The ASX is expected to rise if the cut arrives.
Luke
Again, that's an anticipation. We don't have the size of any cut or the board's reasoning yet.
Der Puls
- The board has spent two days weighing a decision that most forecasters already expect to be a rate cut, the first since 2020.
- Millions of households with mortgages and loans are waiting on a single announcement that could change their monthly budgets.
- Markets are braced for the 2:30pm AEDT verdict, with the ASX expected to rise if the cut is delivered.
- Political pressure is building in Canberra as the government, with an election approaching, prepares to respond to whatever the board decides.
On a February afternoon in Sydney's financial calendar, the Reserve Bank of Australia's board reconvened for the final day of its rates meeting, poised to decide whether the long stillness of the past several years will finally give way. Since 2020, borrowers have lived with the cost of money as it stood, and a cut now expected by most forecasters would ease that weight for millions of households. The moment also carries a quieter political current, as a government nearing an election would find such relief welcome. What is certain is only the anticipation; the decision itself, due at 2:30pm AEDT, has yet to be spoken.
The Reserve Bank of Australia's board returned to the table this morning for the second day of its rates meeting, with its decision due at 2:30pm AEDT. Members had spent the previous day working through their reasoning, and after a night to reflect, they were set to announce the outcome.
The expectation running through the day is strongly in favour of a cut. According to ABC's live coverage, forecasts point overwhelmingly toward a reduction, which would be the first since 2020. For borrowers who have lived with the same rates for years, such a move would bring real relief to millions of households.
The ABC's live blog has organised the day around that moment, with one writer explaining why a cut looks likely and a colleague tracking overnight market movements. The blog anticipates the ASX rising on the news, though that depends entirely on what the board actually says.
The economics is also tangled up with politics. A cut would be welcome to the federal government, which is approaching an election deadline. Political reporter Courtney Gould is due to join the coverage from Parliament House in Canberra to report on the reaction.
For now, though, a cut remains an expectation rather than a fact. The size of any move, the board's reasoning, and the responses from markets and politicians are all still to come, and the 2:30pm announcement is the moment everyone is waiting for.
The Reserve Bank of Australia's board sat down again this morning for the second day of its rates meeting, with a decision due at 2:30pm AEDT. The board first gathered yesterday to work through its thinking, and after a night to consider it, members were due back at the table before announcing the outcome.
The expectation going in is lopsided. According to ABC's live coverage, forecasts overwhelmingly point to an interest rate cut, which would be the first since 2020. That is a long gap for borrowers, and a cut would bring relief to millions of households.
The ABC's live blog framed the day around that decision. One of its writers took the early shift to explain why a cut looked likely, while a colleague, Dan, handled the overnight market moves. The blog's own summary of the outlook anticipates the ASX rising on the news, though that depends on what the board actually announces.
The politics are woven through the economics. A cut would also be welcome news for the federal government, which is fast approaching an election deadline. The blog flagged that angle for later in the day rather than developing it at the outset.
Political reporter Courtney Gould was set to join the coverage from Parliament House in Canberra, to report on the political maneuvering around the decision. The pairing of a central bank announcement with a reporter in the capital reflects how closely the two are linked in an election year.
What the source does not yet provide is the decision itself. At this stage, a cut is an expectation, not a fact, and the size of any move, the board's reasoning and the reaction from markets and politicians all remain to come. The 2:30pm AEDT announcement is the point to watch, followed by how the ASX responds and what is said in Canberra.
Bemerkenswerte Zitate
Expectations are overwhelmingly pointing towards an interest rate cut.— ABC live blog
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Politics & Governance