Trump’s tariffs could prompt further rate cuts

US President Donald Trump's latest round of tariffs could prompt the RBA to make as many as four rate cuts this year.

Money markets have now priced in a 93 per cent chance of a rate cut at the RBA’s next meeting, with the possibility of up to three more cuts by year's end.

If these cuts occur, the cash rate could drop to 3.1 per cent, potentially saving mortgage holders thousands of dollars per month on average.