The decision to suspend interest rate hikes came as a surprise to the market, as previously expected, the RBA would have continued to raise interest rates by 25 basis points in this policy window。This unexpected suspension of interest rate hikes will hit the Australian dollar to some extent。

On June 6, the RBA announced its interest rate decision.。Under the resolution, the bank raised its cash rate target by 25 basis points to 4.10%, in addition, the bank raised the interest rate on trade settlement account balances by 25 basis points to 4.00%。