VIEW: Westpac suggest that "the minutes make....>

RBA: VIEW: Westpac suggest that "the minutes make a fairly clear case for

another rate cut in 2019. With two meetings now having passed since the last

move and, from my perspective, most importantly, the key rate cut theme that

"the Australian economy could sustain lower rates of unemployment and

underemployment" returning to the narrative, our central view that there is no

reason to wait until November for the next move still seems reasonable. November

is typically favoured by the RBA since it is a time when it can refresh its

forecasts although we are not expecting any significant changes along the lines

of August when the forecast unemployment rate was lifted; the forecast pace of

wages growth was lowered; and the timing of the return of inflation to the 2-3%

band was pushed out by a year. The growth forecast in 2019 is likely to be

lowered but the 2020 forecast should remain intact. However, as the minutes

warn, "developments in the international and domestic economies, including the

labour market" will be assessed to see whether a further easing of policy is

"needed". Westpac continues to predict cuts in the cash rate of 25 basis points

in both October and February next year."