Westpac Increases Rate Hike Expectations Amid Inflation Concerns

Westpac has revised its interest rate expectations for the Reserve Bank of Australia (RBA) due to worsening inflation prospects. According to Jin10, the bank now anticipates additional rate hikes in June and August, alongside the previously forecasted increase in May. Westpac's projections suggest that the official cash rate will reach 4.85% by the end of the year. Luci Ellis, Westpac's Chief Economist, noted that this adjustment reflects a longer and slower recovery from previously assumed fuel supply disruptions.