RBA to lift cash rate to 5.1pc, says top forecaster

A resurgent domestic economy and sticky inflation will force the Reserve Bank to do a U-turn and increase its benchmark interest rate three times this year to 5.1 per cent, Judo Bank chief economic adviser Warren Hogan has warned.

After several months of hotter-than-expected data, Mr Hogan has jettisoned his forecast for the RBA to stay on hold until early 2025 and then deliver a rate cut.