Investing.com - The Australian stocks commenced the week with a minor dip, setting the stage for a significant week for global central banks.
This downturn precedes a wave of central bank decisions expected this week, including announcements from the U.S. Federal Reserve, the Bank of England, and the Bank of Japan.
The Reserve Bank of Australia (RBA) is commencing its two-day meeting today, in anticipation of the forthcoming cash rate decision tomorrow. It is widely predicted that the RBA will maintain the current rates.
Despite market predictions of the RBA's first rate cut occurring in September, traders have moderated their expectations concerning the central bank's potential to retract discussions of future rate hikes.
The RBA last raised rates in November, with the newly appointed governor, Michele Bullock, persistently highlighting the feasibility of more rate increases. This sentiment was reinforced by her predecessor, Philip Lowe, who recently stated that the risk associated with interest rates was "two way."
In the commodities sector, iron ore miners, including BHP Group Ltd (ASX:BHP), Rio Tinto Ltd (ASX:RIO), and Fortescue Metals Group Ltd (ASX:FMG), will be under scrutiny as the spot price of iron ore traded in Singapore fell below $US100 a tonne over the weekend. This is the lowest it has been in over seven months, resulting in a year-to-date decline of more than 26%.
Hub24 Ltd (ASX:HUB) and Chorus Ltd (ASX:CNU) shares are set to trade ex-dividend.
On the bond markets, 10-Year rates were at 4.169%.