RBA poised to hold rates steady amid election season — Bloomberg

According to Bloomberg, the Reserve Bank of Australia (RBA) is expected to hold rates steady at its April 1 meeting considering the upcoming federal election, as well as the economic impact of a US-driven upheaval in global trade.

Opinion polls indicate the election will likely deliver a minority government. Meanwhile, a day after the RBA’s monetary policy decision, US President Donald Trump will announce new tariffs that would have a minor impact on the Australian economy.

February's report showed Australia losing over 50,000 jobs, while inflation currently remains within the RBA's 2–3% target range. Yet Bloomberg says that central bank officials will likely need stronger evidence before considering rate cuts at their April meeting.

Money markets are currently pricing in nearly an 80% chance of an RBA rate cut in May. Bloomberg notes that by that time not only the elections will be over and the economic fallout from the US tariffs will become clearer, but also the quarterly inflation data in Australia will be released.