Murray Olds: Australian correspondent on the RBA cutting the OCR to 3.6 percent

Australia's Reserve Bank has cut its official cash rate 25 basis points, to 3.6 percent. 

It's the lowest it's been since April 2023. 

Australian correspondent Murray Olds says conditions were right for a cut - and he explained inflation appeared to be under control and unemployment is rising. 

New Zealand's own Reserve Bank will make its next OCR decision, on Wednesday next week. 

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Episode Transcript

Speaker 1 (00:00):
International correspondence with ends in Eye Insurance Peace of Mind
for New Zealand Business.

Speaker 2 (00:06):
Marryol's was a correspondent with that.

Speaker 1 (00:07):
Say, no, God, I either I tell you who likes
talking to Taylor Swiftlan That would be her back manager.
Oh what bit I?

Speaker 2 (00:14):
Because you know, regardless of what's billions, you can't criticize
the woman's ability to make a coin that takes a
special talent, doesn't it.

Speaker 1 (00:22):
Now?

Speaker 2 (00:23):
Okay, what's Susan Lay's argument about Palestine.

Speaker 1 (00:26):
Well, it's it's kind of like it's a bit specious.
And you know I say that, and you know I'm
a labor voter. It just seems a bit odd because
it's been coalition policy for years, for like for since
John Howard for over twenty years, that there has to
be a two state solution. Yes, okay, but when when

(00:47):
it's never going to be early enough for Israel. I mean,
I'm sorry, late enough for Israel. Israel doesn't certainly under
Benjamin Yah. So Susan Lee says it's premature. She's also
I've just got some quotes here. Susan Li says Albanezi
has gone early and he's out of his depth. Scott Morrison,
former Prime minister. It's a hollow gesture. Josh Friedenberg at

(01:10):
one point astraight as leading Jewish politician. He of course
was tipped to be the prime minister after Scott Morris
until he lost his seat. He says, it's i logical
because you're rewarding a terrorist organization that committed everyone acknowledges
the most egregious, horrendous crime on October seven. There's no
disputing that. But as Petty Woger said, and the clip

(01:31):
you're played, when do you start to change the narrative
because it's not going to change anytime soon unless you do.
And David Little Proud Weird, the National's leader. You're giving
dessert to the children before vegetables, which, given the state
of the food supply and gaza properly is a little.

Speaker 2 (01:47):
Bit So do they not have a point though, ms
Because the state of Palestine has been put forward as
a solution to the food crisis at the moment, how
does that fix what's going on right now? Surely the
solution to the food crisis is more aid, not a
state of Palestine.

Speaker 1 (02:04):
You're getting more aid in of course, yeah, but Israel
is resisting that, right I mean, yeah, isn't Israel resisting
that the Israeli US food distribution plan that's been in
place with what three months or more, that's just not working.
And you know, of course we dispute the figures Hamas
figures according to the people who support Israel, all the

(02:26):
figures about dead children, dead mums. You know, there's a
stat came out today. You may have seen this, I'm
sure you have. In fact, unic says there's a classroom
of Palestinian kids getting killed every day, and that just
is you can't. I mean, Israel's losing the pr war.
There are millions of friends of Israel and Australia. I
bet there are in New Zealand, but hell's bells. When

(02:47):
you look at what's happening there, you just say, well,
when's it going to be right? You know what I mean? Yeah,
it's a tough question here. I'll tell you what I think.

Speaker 2 (02:56):
We all feel pretty helpless watching this happen. Now, how
are you feeling about that RBA cut?

Speaker 1 (03:01):
That's pretty good, yeah, but widely expected. I mean, you
know a third of Australians have a mortgage, a third rent,
and a third own their own places. So the Reserve Bank.
It did cut interest rates today five of one percent,
so down to three point six percent for the official
cash rate the Australian dollar. Anticipated that it was sixty

(03:21):
five and changed sixty five point two the decision back
in July they kept the rate on hold. Are the
interest rate on hold and that despite a different inflation
and evidence that job's growth was slowing significantly, and it
did so. Look right now today inflation appears to be
under control. The jobless numbers are rising, you know, modestly,

(03:45):
it must be said. And some people even were saying
there could be a cut of point three five percent
down to three and a half, and a lot of
people saying, can you just make it even please three
and a half three point twenty five three because those
of us who are mathematically challenged it look sufficed to say.
He's a very, very able woman, Michelle Bullock. She is
the boss of the Reserve Bank of Australia. And at

(04:06):
about forty five minutes time, she'll be standing up. Unusually,
this didn't happen until her reign, and she'll be holding
a full on news conference to explain exactly what's happened
and the reasons behind it.

Speaker 2 (04:16):
Brilliant stuff. Mars, thank you so much. As always Marry
Old's Australia correspondents.

Speaker 1 (04:21):
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