Cato Advisory delivered an update on the agribusiness finance market to members of the Harden District Rural Advisory Service on Wednesday, August 30.

Managing Director of Cato Advisory, Tim Findlay, told attendees that agribusiness lenders were still hungry to do business and competition remained strong. Interest rates were also discussed, with economic data suggesting RBA will keep official cash rates on hold at their next meeting on the first Tuesday in September.

“Softening inflation is starting to entrench itself as a trend, and employment is softening. This is what the RBA have been looking for as a response to their interest rate hikes,” Mr Findlay told attendees said.

The ASX’s RBA Rate Tracker of 30-Day Cash Rate Futures indicates an 86% chance of no change on September 5, with a 14% chance of a 25bps decrease to 3.85%. That means the market is expecting a rate rise to be off the table.

If you would like a copy of the presentation, please email tim.findlay@catoadvisory.com.au