Westpac's Evans Now Expects RBA Cut in April, Aug (Previously Feb, June)

By Sophia Rodrigues

Westpac's chief economist Bill Evans has pushed back his forecast for RBA cash rate cut to April from February, citing surprise fall in the jobless rate for two straight months in November and December. Evans expects another RBA cut in August (previously June) that will take the cash rate down to 0.25%. "The November report showed a tick down in the unemployment rate from 5.3% to 5.2% – Westpac expected that the December Report would see a reversion back to 5.3% but the actual report printed a further fall in the unemployment rate to 5.1%," Evans wrote in a note.