May rate cut can’t be ruled out

Pendal Group

Pendal Group

There were two pieces of good economic news in March. First, GDP growth for the year to the December quarter 2015 was reported at 3%, the highest reading since the March quarter of 2014. The unemployment rate also fell, from 6% to 5.8%, despite a third successive month of only soft employment growth. Other labour market indicators, such as vacancies, suggest that continued improvement is likely. There is one other factor that could precipitate a further rate cut; suppose that we get a surprisingly low CPI inflation result at end-April. A May rate cut cannot be ruled out completely, although bear in mind that the first Tuesday in May has already been reserved for a different major economic event, namely the rescheduled Budget. My view is still that the RBA will keep rates on hold for the foreseeable future. Read the full update here: (VIEW LINK)


At Pendal Group, our vision is to combine the benefits of our strong institutional foundation and performance-focused culture with a multi-boutique specialist investment approach. We believe this approach firmly positions Pendal to achieve...

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.