{
  "id": 17730680,
  "title": "RBA Preview November: 25 bps hike expected as inflation outlook worsens",
  "url": "https://urgent.news/2026/11/02/rba-preview-november-25-bps-hike-expected-as-inflation-outlook-worsens",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-11-02T02:39:49.000Z",
  "source": {
    "name": "Investing.com",
    "slug": "investing-com",
    "url": "https://www.investing.com/news/economy-news/rba-preview-november-25-bps-hike-expected-as-inflation-outlook-worsens-4989814"
  },
  "original_language": "en",
  "account": "The Reserve Bank of Australia (RBA) is widely anticipated to increase interest rates by 25 basis points on November 2, as inflationary pressures continue to pose a challenge. According to forecasts, the RBA expects to raise its benchmark rate to 4.85%. The ASX 30-day interbank cash rate futures indicate a 78% probability of a rate hike in November, representing the central bank's fifth hike this year.\n\nThe aggressive tightening cycle began as the RBA noticed inflation running above its 2% annual target. Rising energy prices, disruptions from the Middle East conflict, and limited domestic capacity contributed to the upward trend in Australia's inflation. ING analysts stated that the data released in September gave the RBA greater confidence that inflation is not yet declining steadily, which strengthens the argument for another rate increase. RBA Governor Michele Bullock's comments have further solidified expectations for a November rate hike, especially as she suggested that the central bank will evaluate if its four rate hikes this year were sufficient to curb inflation.\n\nThe RBA's decision will likely impact Australian stocks, as higher rates tend to suppress local liquidity and dampen investment flows into stocks. Notably, banking and wealth management companies stand to benefit from the higher rates, which benefited the ASX 200, trading up 1% thus far in 2026. The Australian dollar has also gained from higher rates, with AUD/USD trading up 5.4% in 2026. As the RBA continues to tighten monetary policy, the Australian dollar is expected to further strengthen, especially with increasing bond yields aligning with the central bank's tightening cycle.",
  "summary": null,
  "key_points": [
    "RBA to raise interest rates by 25 basis points on November 2",
    "Inflation above 2% target, posing challenge for RBA",
    "ASX 30-day interbank cash rate futures show 78% probability of hike"
  ],
  "editors_take": "Persistent inflationary pressures force the central bank to prioritize price stability, a move that strengthens the Australian dollar while favoring banking sectors at the expense of broader market liquidity.",
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}