Fewer economists expecting a November Cup Day RBA rate cut: Bloomberg

Alistair WalshOctober 25, 2012

The number of economists expecting a cash rate cut to 3% at the Reserve Bank’s November 6 meeting has dropped in recent weeks.

This week, 21 out of 28 surveyed economists expect the rate cut, according to the Bloomberg survey.

Swaps traders are now pricing in a 55% chance of a cut on November 6.

Last week 23 out of 27 economists  expected it to drop with swaps traders then pricing in a 79% chance of a cut and the week prior it was 21 out of 26 economists with swaps traders then pricing in an 80% chance of a cut.

Almost all economists polled, 25 out of 28, expect the rate to be 3% after the December 4 decision.

Alistair Walsh

Deutsche Welle online reporter

Editor's Picks

Hamton launches sales at Scotch Hill Gardens, Hawthorn
RBA cut interest rates amid inflation decline
Reddam House North Shore opening to lure families to North Sydney
Woolworths to sell another prime Brisbane development site with apartment approval
TOGA's vision for building vibrant new community precincts across Sydney