Just in time to hammer the chartists comes Goldman:
Falling cash rates are bad for bank margins Since Mar-15, we have highlighted to investors the risk to banks earnings as the cash rate is cut, particularly once it falls below 2.00% (refer Assessing the rate cut risk to banking net interest margins; prefer ANZ (CL-Buy), March 27, 2015).
Economists no longer expect rate cuts Our Economics Team now expects the easing cycle has ended (at a cash rate of 1.50%), with cash rate rises to start in 2018, taking it to 2.25% by the end of that year (refer Australia: GDP, 2Q2016: Income recovery signals the end of the easing cycle, September 7, 2016).