May 2026 Newsletter

Published
1 May, 2026

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RBA Announcement
Market movements
Common Scams

As we enter the final month of Autumn, the focus has been on the Federal Budget and interest rates. April certainly brought a sharper edge to the economic outlook with the Middle East crisis, inflation, volatile markets and fragile consumer confidence continuing to weigh heavily on investors.

The sharp increase in petrol prices fuelled a jump in inflation for March to 4.6%, the largest jump in three years. Underlying price growth was steadier, with trimmed mean inflation holding at 3.3%, although still exceeding the Reserve Bank’s target range of 2-3%. Opinions are currently split on where interest rates are heading.

In the US, the Federal Reserve voted narrowly to keep rates on hold despite worsening economic conditions. The ASX 200 was sliding downwards towards the end of the month with the Australian dollar also weaker but still trading near four-year highs

The latest Westpac–Melbourne Institute survey showed sentiment falling, highlighting growing pressure on household budgets from fuel and borrowing costs.

Oil prices continued their stellar climb with Brent crude now at its highest level since 2022.

RBA Announcement - May 2026

At its latest meeting, the Reserve Bank Board announced it was increasing the cash rate to 4.35 per cent. Inflation picked up materially in the second half of 2025, and information since the beginning of this year confirms that some of this increase reflected greater capacity pressures.

In addition, the conflict in the Middle East has resulted in sharply higher fuel and related commodity prices, which are already adding to inflation. Please click here to view the Statement by the Monetary Policy Board: Monetary Policy Decision.

We're watching closely what the banks do with their rates, as some of Australia's biggest lenders may make changes to their rates. Please get in touch if you would like to discuss recent rate movements or if you would like to review your finance options.

Market movements and review video - May 2026

Stay up to date with what's happened in the Australian economy and markets over the past month.

April brought a sharper edge to the economic outlook.

The Middle East crisis, inflation, volatile markets and fragile consumer confidence are continuing to weigh heavily on investors. Stocks rallied as hopes for a U.S.-Iran ceasefire grew, only to decline as the Strait of Hormuz remained largely closed. The ASX experienced a volatile month, after a strong mid-month rally became a prolonged losing streak.

Annual inflation surged to 4.6%, up from 3.7%, driven by a 32.8% monthly spike in fuel prices due to Middle East conflict. However, trimmed mean inflation, which is the RBA's preferred measure of underlying inflation, remained steady at 3.3%.

Please get in touch if you’d like assistance with your personal financial situation.

 

Common scams to watch out for at EOFY

As the end of the financial year approaches, it’s a busy time for preparing your taxes, reviewing super, and getting your finances in order. Unfortunately, it’s also a peak period for scammers looking to take advantage of people and businesses who are focused on deadlines and end-of-year financial tasks.

EOFY creates the perfect environment for fraud. With refunds, payment reminders, super contributions, and updated financial documents all top of mind, scammers rely on urgency and distraction to trick people into handing over personal or financial information.

Knowing what to watch for can save you stress, money, and headaches. This guide highlights the most common EOFY scams and offers practical tips to help protect your finances before you act.

  • Fake ATO communications

    A common scam involves messages pretending to be from the Australian Taxation Office. These can arrive as emails, text messages, or phone calls, claiming that a refund is due or that a tax debt must be paid immediately. Scammers create urgency by threatening penalties, legal action, or freezing accounts. They often ask for payment via unusual methods like gift cards, cryptocurrency, or direct bank transfer. The ATO will never request payment in these ways. Always verify suspicious communications independently. Do not click links or provide personal information in response to unexpected messages. If in doubt, search online to find the correct contact details.

  • Phishing emails targeting business owners

    EOFY is a particularly high-risk time for businesses. Scammers often send emails that look like they come from payroll providers, accounting software platforms, banks, or even bookkeepers. These emails may request login credentials, bank information updates, or contain attachments that install malware. Verify any unusual requests by calling the organisation using a trusted phone number. Never rely on the contact details or links provided in the email itself. Even seemingly minor requests can be part of a larger scheme. A small error in payment details can lead to ongoing losses if scammers are able to redirect multiple invoices over time.

  • Invoice and payment redirection scams

    Businesses finalising accounts are often targeted with fake invoices or intercepted invoices that have altered bank account details. Because these payments are routine and expected, they can be processed without question. Always double-check any changes to payment details with the supplier before sending funds. A quick verification call can prevent significant financial loss. It’s also wise to keep a consistent process for approving payments, including multiple checks or sign-offs for large amounts, to reduce the risk of falling victim to invoice scams. These emails may request login credentials, bank information updates, or contain attachments that install malware. Verify any unusual requests by calling the organisation using a trusted phone number. Never rely on the contact details or links provided in the email itself. Even seemingly minor requests can be part of a larger scheme. A small error in payment details can lead to ongoing losses if scammers are able to redirect multiple invoices over time.

  • Social media and SMS scams

    Short text messages or social media ads claiming you are eligible for a tax refund are increasingly common. These often contain links to fake websites that collect personal information. Scammers may use official-looking logos, branding, and URLs to make the message appear legitimate. Do not click on links from unexpected messages. Verify the legitimacy of any refund or offer through official websites and use secure channels for submitting sensitive information.

  • Superannuation and investment scams

    Scammers take advantage of EOFY financial reviews by promoting fake investment opportunities or superannuation schemes that promise high returns or tax advantages. Some even claim to help access super early to “avoid tax” or “invest better.” Be cautious of unsolicited offers and guaranteed returns. Only consider changes to super or investments through verified and legitimate channels. Check any adviser or company through the official regulatory registers before taking any action.

  • Staying safe

    At EOFY, it’s important to slow down. Scammers rely on urgency. Messages that pressure you to take immediate action or threaten consequences are red flags. Verify first, act second. Keep devices and software up to date, use strong and unique passwords, and enable two-factor authentication where possible. Keep an eye on your accounts for unusual activity and regularly review payment processes to make sure safeguards are in place. EOFY should be a time to tidy up finances and plan for the year ahead. Protecting yourself from scams ensures that money stays where it belongs and that EOFY is a time for financial clarity, not stress. For any questions or concerns about suspicious communications, talk to us. A quick check now can prevent problems later and give peace of mind while managing your EOFY finances.