Well, relief could be on the way for Aussie homeowners after the Reserve Bank indicated it's open to delivering an interest rate cut next month. The sentiment was revealed in the minutes from the April meeting, with board members saying May would be an opportune time to revisit their monetary policy. It comes as A and Z joins its fellow big banks in slashing its term deposit interest rates. For more, we're joined by a founder of fort Lake Asset Management, doctor Christian Ballas. Good morning to you. Tell us why they're considering this now? What's tipped them over the edge?

Well, relief could be on the way for Aussie homeowners after the Reserve Bank indicated it's open to delivering an interest rate cut next month. The sentiment was revealed in the minutes from the April meeting, with board members saying May would be an opportune time to revisit their monetary policy. It comes as A and Z joins its fellow big banks in slashing its term deposit interest rates. For more, we're joined by a founder of fort Lake Asset Management, doctor Christian Ballas. Good morning to you. Tell us why they're considering this now? What's tipped them over the edge?

Well, Number one, I guess domestically speaking, they've got all of their updated forecast by the time they actually go to the meeting, that's going to be a huge thing. They're going to have three months of CPI data, so the full bandwidth there to make sure that they can assess what's going on with the inflation side of things. And then I think also what's happening is we're trying to sift through all of the tariff related chaos and understand what that actually means for inflation and therefore global growth and therefore how Australia is actually affected by it. I think they'll probably come to some type of interim conclusion on what that means for the Australian people, and it probably means that it tips them over for a cut. I would say it's a finely balanced one, but I think there's probably a slightly better than fifty per cent chance of.

Well, Number one, I guess domestically speaking, they've got all of their updated forecast by the time they actually go to the meeting, that's going to be a huge thing. They're going to have three months of CPI data, so the full bandwidth there to make sure that they can assess what's going on with the inflation side of things. And then I think also what's happening is we're trying to sift through all of the tariff related chaos and understand what that actually means for inflation and therefore global growth and therefore how Australia is actually affected by it. I think they'll probably come to some type of interim conclusion on what that means for the Australian people, and it probably means that it tips them over for a cut. I would say it's a finely balanced one, but I think there's probably a slightly better than fifty per cent chance of.

They cut, because only a month ago before tariff situation, everyone was a lot of economists were sitting there saying, this will be months and months and months and months. Do we see a cut, won't they?

They cut, because only a month ago before tariff situation, everyone was a lot of economists were sitting there saying, this will be months and months and months and months. Do we see a cut, won't they?

Yeah? Yeah, that's right. And I think, look that the tug of war that's ultimately going on with all the tariff chaos is on the one hand, you've got the tariffs and tariffs in the back and forward, and I guess what that means is do we go back to the COVID type era where tariffs induce these supply chain issues and everyone just down tools and says what we do? And then all of a sudden, you've got all of this demand and there's no one at the ports, there's no one doing the trading anymore because everyone is just stricken by the chaos. So that could cause inflation but then on the other hand, the chaos is actually leading to everyone just doing nothing and sitting on their hands, and that hits global growth. Both that hits basically revenues and that means economies can go into recession. So you've got this tooing and throwing going on between those two dimensions, and ultimately the RBA has to make a decision on which one is going to be the stronger have the stronger pulse on inflation. So that's the challenge that they've got.

Yeah? Yeah, that's right. And I think, look that the tug of war that's ultimately going on with all the tariff chaos is on the one hand, you've got the tariffs and tariffs in the back and forward, and I guess what that means is do we go back to the COVID type era where tariffs induce these supply chain issues and everyone just down tools and says what we do? And then all of a sudden, you've got all of this demand and there's no one at the ports, there's no one doing the trading anymore because everyone is just stricken by the chaos. So that could cause inflation but then on the other hand, the chaos is actually leading to everyone just doing nothing and sitting on their hands, and that hits global growth. Both that hits basically revenues and that means economies can go into recession. So you've got this tooing and throwing going on between those two dimensions, and ultimately the RBA has to make a decision on which one is going to be the stronger have the stronger pulse on inflation. So that's the challenge that they've got.

So sixty forty I reckon for a cup about that down for sixty Thank you, Christian

So sixty forty I reckon for a cup about that down for sixty Thank you, Christian