0.25 per cent rate cut tipped
The Reserve Bank of Australia is likely to deliver a rate cut today as the evidence of a recession mounts up. Financial markets are expecting a 0.25 per cent or 0.5 per cent rate cut.
Growth figures to be released tomorrow are expected to show that Australia's economy contracts in the three months to the end of December. The Treasurer, Wayne Swan said "We've now got a situation where something like seven out of our top ten trading partners are in recession, this will have a dramatic impact on growth in Australia."
Source: Sydney Morning Herald