The Reserve Bank of Australia has decided to keep the official cash rate unchanged at 4.35 percent following its June policy meeting.

The decision comes as policymakers continue to balance persistent inflation pressures against signs of slowing economic growth. Markets had widely expected the central bank to pause after a series of rate hikes earlier this year aimed at controlling inflation.

RBA Governor Michele Bullock is scheduled to address the media later today, where she is expected to explain the board’s outlook on inflation, employment, and future rate movements.

Economists say the hold reflects a cautious approach as earlier interest rate increases begin to filter through the economy, affecting household spending, housing markets, and overall demand.

Financial markets reacted calmly to the decision, with investors already pricing in a high probability of a pause. Attention now turns to whether the RBA signals any further tightening or maintains its current stance for an extended period.

The decision is expected to influence mortgage holders and businesses across Australia, as the central bank continues its efforts to bring inflation back within its target range.