AUS 10Y Yield Stays Near Multi-Month Lows
2026-06-16 05:09
By
Joshua Ferrer
1 min. read
Australia’s 10-year government bond yield traded around 4.8%, staying near multi-month lows after the Reserve Bank kept rates unchanged for the first time this year.
In a unanimous vote, the central bank held the cash rate at 4.35%, citing signs that three rate hikes earlier this year are beginning to filter through the economy.
While policymakers reiterated that inflation remains elevated, a recent series of softer economic data gave the RBA room to pause and assess the impact of past tightening.
Markets now await Governor Michele Bullock’s press conference later today for clues on whether policymakers are leaning toward an extended pause or maintaining a tightening bias.
Three of Australia’s four largest banks expect the RBA to keep rates unchanged for the remainder of 2026, with some forecasting rate cuts next year.
Elsewhere, global inflation concerns eased as oil prices fell sharply following a tentative US-Iran peace deal that could lead to the reopening of the Strait of Hormuz.