Dec 15, 2025 (The Australian Financial Review - ABIX via COMTEX) --
Money markets are tipping that the Reserve Bank will lift interest rates by half a percentage point, after having tipped a similar fall just two months ago, while the US Federal Reserve is expected to keep cutting rates next year. It is not often that the RBA and the US Federal Reserve have diverged, but UBS chief economist George Tharenou says when they have, the Australian dollar has jumped 10 to 40 per cent. When the two last diverged in 2009-10, the Australian dollar rose by 15 per cent, while the forecast rise in the Australian dollar in the coming months could have a negative impact on some sectors of the sharemarket..
Publication Date: 16 December 2025
RESERVE BANK OF AUSTRALIA
UNITED STATES. FEDERAL RESERVE BOARD
COMTEX_471138668/2229/2025-12-15T18:05:18
By David Ross
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