The pressure on the Reserve Bank must be mounting. First Australia cuts by 100 and overnight we have seen coordinated action by several other central banks.
The U.S. Federal Reserve cut its main rate by a half percentage point, with the central banks of China, Britain, Sweden, Switzerland and the European Central Bank all following suit with their own cuts.
Aside from this external pressure there are growing signs that inflationary pressures in the domestic economy are easing. Unemployment, in particular, is moving upwards.
