Good afternoon. It came as no surprise, but it will be welcome news for homeowners nonetheless. In a widely expected decision, and despite persistent worries about elevated inflation, the Reserve Bank held the cash rate at 4.35%.
The announcement comes amid a steep decline in property prices in Sydney and Melbourne after three rate hikes earlier this year and the Labor government’s major reforms to the capital gains tax discount and negative gearing.
Our economics editor Patrick Commins wrote today that while inflation eased to 3.8% in June, a fourth hike this year remains on the table as the central bank attempts to walk the narrow path back to its 2.5% inflation target without triggering a big rise in unemployment.
Top news
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Coalition divided over tougher gambling laws – with MPs warning Angus Taylor against overreach
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Clover Moore unveils 4,500 sq metre Sydney plaza design after more than 40 years of planning
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Donald Trump says it would be a ‘terrible mistake’ to replace Fifa’s Gianni Infantino
In pictures
Will the government get it right on gambling reform?
In her latest cartoon, Fiona Katauskas says Anthony Albanese is weighing up his options.
What they said …
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“But if I go, you go. Right?” – Donald Trump
Prompted by an Iranian assassination threat, the US president departed on a secret military flight from Turkey last month when the White House said he was flying aboard Air Force One, in an extraordinary ruse that involved hiding the president in an airport catering cart, according to reporting from the Washington Post and the New York Times.
The journalists who thought they were travelling with Trump on the older Air Force One reported being advised to keep their window shades in the press cabin closed. When asked later by reporters why they had to keep their shades shut during the flight, Trump said it was because they were “probably on a dangerous flight”.
Podcast
Why did Saudi Arabia just spend billions on a video games company?
Last week Saudi Arabia’s wealth fund and a group of investors spent $55bn (£41bn) on Electronic Arts, one of the biggest video games company in the world. But why would such a powerful government, like Saudi Arabia, take a risk with video games?
Keith Stuart and George Osborn tell Annie Kelly why this soft-power move is worrying many in the industry.
Listen to the episode here.
Before bed read
Speaking just before his death, Sam Neill recalled the joy of making the film Hunt for the Wilderpeople, his hostile hunting dog Zag, director Taika Waititi’s comedy genius – and the wild boar scene that left children traumatised.
Daily word game
Today’s starter word is: PIS. You have five goes to get the longest word including the starter word. Play Wordiply.
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