RBA on tap this week: what will it hold? - Westpac

Analysts at Westpac explained that in Australia, inflation in the first quarter was 1.9%, close to expectations. 

Key Quotes:

"This won’t have surprised the RBA, which meets on Tuesday. The RBA has made clear that it isn’t considering moving its cash rate from 1.5% near term so markets will instead focus on the statement. In particular, we will be keen to see whether Governor Lowe will indicate that the RBA is cutting its 2018 GDP forecast. 

These forecasts are in the quarterly Statement on Monetary Policy on Friday. We expect the RBA to lower its growth forecast from 3.25% to 3.0%. This is still above Westpac’s forecast of 2.7%."