Future Cash Rates

The chart below uses the last 30 day interbank cash rate settlement prices from the ASX futures market to generate the percentage likelihood of moves in the cash rate over the next year.

A negative percentage is the chance of a fall and a positive one the chance of a rise. A percentage greater than 75% or less than -75% will generate the relevant shift in the cash rate (the red column) for that month. If the number is not far above 75%, it will often be reversed the next month.

Remember that futures prices reflect the trading positions of market participants. There is no certainty that they will be right.