NAB is now forecasting that the “next move” for Australia’s cash rate is likely to be lower rather than higher, following updated signals from consumer sentiment. The change in outlook comes as Westpac’s consumer sentiment data shows a record level of negative reaction to the federal Budget, indicating worsening confidence among households. With consumer sentiment deteriorating sharply, NAB’s assessment suggests the conditions supporting additional tightening are weakening. The outlets report that NAB’s reasoning is tied to the likelihood that monetary policy will respond to softer demand and reduced household outlook. While both reports highlight NAB’s revised expectation, neither source indicates an immediate cash-rate cut with certainty; instead, they frame it as a directional shift in the central bank path—toward potential easing. Overall, the reports connect the move in NAB’s interest-rate view to the deterioration in consumer sentiment measured by Westpac, with the implication that the balance of risks has shifted toward downside pressures rather than further rate rises.