Following consecutive rate cuts in June and July, the RBA at its latest interest rate meeting has paused by keeping the official cash rate steady at 1%.

This comes as no real surprise as we had been expecting the bank to observe the impacts of its recent cuts before reassessing the need for further action.

This decision would have factored that in the past month, a range of data and events are signalling that the domestic and international backdrop is in a state of flux.

Markets are now fully pricing in a 0.25% rate cut by October, with a very high chance of a follow-up in the easing of rates early next year also priced in.