Skip to content

We want to clarify that IG International does not have an official Line account at this time. We have not established any official presence on Line messaging platform. Therefore, any accounts claiming to represent IG International on Line are unauthorized and should be considered as fake.
CFDs are complex instruments. 72% of retail client accounts lose money when trading CFDs, with this investment provider. You can lose your money rapidly due to leverage. Please ensure you understand how this product works and whether you can afford to take the high risk of losing money.
CFDs are complex instruments. 72% of retail client accounts lose money when trading CFDs, with this investment provider. You can lose your money rapidly due to leverage. Please ensure you understand how this product works and whether you can afford to take the high risk of losing money.

Interest rates steady, for now: RBA and RBNZ watchful

The central banks of Australia and New Zealand will this week decide on interest rates. Will they rise or remain steady?

Video poster image

(Video summary)

In the coming week, the central banks of Australia and New Zealand will be deciding whether to change interest rates.

RBA

In Australia, the Reserve Bank of Australia (RBA) is expected to keep rates steady at 4.1%, but some economists think there might be an increase later in the year due to rising inflation.

This meeting is important because it's the first one led by new RBA governor Michelle Bullock. Usually, not much changes in the first meeting of a new governor. The recent increase in inflation is mainly because oiloil prices have gone up. The RBA might not be too concerned about this temporary spike, but if oil prices keep going up and affect other parts of the Australian economy, leading to higher inflation, the RBA will have to react. It's crucial for them to closely watch the situation to prevent any negative effects on the overall economy.

RBNZ

Similarly, the Reserve Bank of New Zealand (RBNZ) is expected to keep interest rates steady at 5.5%. Inflation in the country is slowing down, and the official stance is that previous rate increases haven't had a big impact on the whole economy yet. The RBNZ will be closely monitoring the situation to decide if more rate adjustments are needed.

Overall, both central banks have important decisions to make about interest rates. The RBA is carefully watching inflation, especially how rising oil prices are affecting it. The RBNZ is focused on inflation slowing down and its impact on the broader economy. Meanwhile, the financial markets will be keeping a close eye on what decisions they make.


This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.

Start trading forex today

Trade the largest and most volatile financial market in the world.

  • Spreads start at just 0.6 points on EUR/USD
  • Analyse market movements with our essential selection of charts
  • Speculate from a range of platforms, including on mobile

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.