NAB expects Australia to report weak Q2 GDP on Wednesday, forecasting QoQ growth of about 0.2% and YoY growth of 1.8%. NAB says weak growth reduces the chance of further RBA hikes, but warns persistently low productivity could maintain inflationary pressure even with slow growth; the RBA continues to prioritise inflation control. Calls for productivity-boosting reforms have largely stalled due to political cost, and RBA Governor Bullock said the federal government in Canberra must lead on reform

NAB expects Australia to report weak Q2 GDP on Wednesday, forecasting QoQ growth of about 0.2% and YoY growth of 1.8%. NAB says weak growth reduces the chance of further RBA hikes, but warns persistently low productivity could maintain inflationary pressure even with slow growth; the RBA continues to prioritise inflation control. Calls for productivity-boosting reforms have largely stalled due to political cost, and RBA Governor Bullock said the federal government in Canberra must lead on reform.