 Let's go straight to Martin Place in Sydney where our cousin Scott from Skarni's business is outside the RBA with big securities Mark Bailey Carson, how are you reading the decision today? It's gonna be interesting isn't it some of the themes Helen and Mark Bailey welcome into the show I we were just talking its banks reporting Focused even today with A&Z looking at the numbers and you know in the real economy So from a reserve bank ivory tower if you want to paraphrase to how the banks are moving independent You kind of get a sense that that will be a feature even that they'll call out What banks are opting to do increasing which is swimming against the tide never mind I'm just for the reserve today. It's a case that profitability is being shored up by upping those rates in the real market Yeah, I don't think the the RBA will call out that per se You know they're fully cognizant of what the banks are doing and the out-of-cycle hikes that they're putting through Equally the RBA is very cognizant in terms of what you know the real economy is having to pay for its capital And and that plays into you know what the banks are doing separately So as you as we talked about before, you know, the there was it's still NIM compression in Interest margin compression at the A&Z down to 2% from 2.0 So it's going through that let's face it correct. Absolutely. And that's why you've seen these out-of-cycle hikes But you're a bond man. I mean talk to the recalibration of bond markets the kind of The less of the fear and loathing more of a rating in of frenzy and therefore have these funding costs actually shot out And and balloons out quite as the banks have portrayed them Oh, I don't think so and you know, but again, it's the marginal cost that they're having to put on Yes, it's probably increased from what it was, you know six months ago And that's largely due to what you've seen in terms of base rates the underlying You know the treasury rates or the swap rates have increased as you've seen the impact from the from the fed and what's happening over in the states Speaking of various other bodies apra here Excuse me, you know the idea that wane bias has been quite public in the last few weeks and talked about not having a role on house prices So much as prudential lending he was clear to make that distinction. They don't govern the market in that regard Is that going to be a sufficient theme for the reserve bank to key off and say look We can maybe even be accommodative from here because apra are on watch and they're acting and they have acted Subsequent to our instructions Look, my view is that down the line. Maybe in november we do get another 25 basis point cuts I think in terms of the house price situation the rba will still watch that and I think there'll be kind of Sit and wait and see what happens in that regard. You did see a bit of softens coming through in apartment prices The clearance rates are running very nice. Absolutely still at 80 80 percent in in sydney and so you're still seeing strength there So I don't think you're going to see a huge come down in house prices I think the rba will still have to have a watching brief on that topic This will be the last decision before a budget So is there an opportunity today to call out for fiscal heavy lifting never mind You know the monetary policy overlay that's been so accommodated to date Again, I don't think the rba will make specific reference to the budget I think but it will still be a wait and see and and Given you know what we've seen from scott morrison in the last few days where he seems to be priming everybody for Additional fiscal spend and additional debt and the difference between good debt and bad debt another inquiry on gst I mean when do these things stop getting into inquiry mode actually get in some policy and some law reform Yeah, don't get me started on australian politics. I think it's uh, it's a it's a dangerous subject But I'd like to see more action and less talk and we do continually seem to talk But it's difficult when you've got that situation in the upper house as well We wait very difficult to get legislation through mark. Thank you as always appreciate my bailey from fig We are in countdown mode brand parker from sun super chief