RBA Minutes Signal Cautious Stance

• RBA Minutes from the July meeting revealed a cautious Board, with members wanting to see the next quarterly inflation print before considering a rate cut.
• Inflation is now within target and expected to stay there, while policy was described as “modestly restrictive.” Labour market conditions were seen as tight, though recent data may soften that view.
• Most members supported holding rates steady to maintain a cautious and predictable stance, while a minority favoured a cut due to downside growth risks and long policy lags.
• The Board also discussed weak productivity and uncertainty around the neutral cash rate, highlighting why any easing is likely to be gradual and measured going forward.