Thomson Financial News - I think the Reserve Bank is in a really difficult situation. I can understand the need to keep inflation well anchored and send a strong message that it can't get out of control, but by the same token the slowdown in global growth is suggesting that around the corner there will be a bit of a slowdown in Australian growth and that's going to take a lot of the pressure off inflation. I would think that the best approach is to leave rates on hold, which I think they will do, but it's a pretty close call and it wouldn't surprise me at all if on Tuesday at 2.30 pm we find they did raise rates after all. If they did move it would be a one-off and probably the next move, probably not till next year, will be a rate cut.
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