The Reserve Bank of Australia is wary of cutting interest rates too quickly and is cautiously waiting for more data.

Jin10 data reported on July 22 that the Reserve Bank of Australia believes that a third rate cut in four meetings does not align with its cautious and gradual easing strategy, which is also the reason for keeping the interest rate stable this month, shocking the market. The minutes of the Reserve Bank of Australia’s meeting from July 7 to 8 show that the majority of the nine committee members believe that the 3.85% interest rate remains moderately restrictive, but it is difficult to know how much further the rate can be cut before reaching the neutral rate. The minutes state: “Therefore, the committee members believe that, as the required degree of policy restrictiveness decreases, it may be prudent to cautiously lower the interest rate.”