A Commonwealth Bank senior economist says the Reserve Bank is not in a ‘rush’ to cut interest rates but predicts it will by the end of the year.

The Reserve Bank minutes revealed the central bank is watching job growth closely, which could lead to another rate cut.

Commonwealth Bank of Australia Senior Economist Gareth Aird tells John Stanely they will cut rates on Melbourne Cup Day.

“Given that they’ve set a pretty high target for themselves to try and get the unemployment rate down to four and a half per cent, we think they’ll have to end up taking interest rates lower by the end of the year.”

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