The Australian central bank hints that the interest rate path may be more moderate.

The Reserve Bank of Australia has signaled that the future policy path may be more moderate than some people fear. Adam Boyton, chief economist for Australia at ANZ Bank, noted that the minutes of the recent policy meeting of the Reserve Bank of Australia highlighted that future interest rate hikes are not set in stone. He added that the Reserve Bank of Australia may ultimately be surprised by inflation data, and consumer spending is expected to slow in the coming months. ANZ Bank forecasts that the official cash rate will remain at 3.85% by 2026.