HSBC: RBA is expected to remain unchanged this week and is expected to start a rate cut cycle next year.

Paul Bloxham, Chief Economist at HSBC, said that with the Fed's rate cut last week, almost all G10 central banks have now entered a loosening phase, but the situation is different for the Reserve Bank of Australia. He added that the core inflation rate is still high and the decline is slow, which will prompt the Reserve Bank of Australia to firmly maintain its current stance and keep a hawkish position this week. Bloxham also added that it will take some time before the Reserve Bank of Australia cuts rates, and HSBC's main expectation is for a rate cut in the second quarter of 2025, but it may take longer.