Australia’s central bank cut interest rates for a second time, citing easing inflation risks, but warned of ongoing shocks to the global economy from the U.S. trade policies and a deteriorating geopolitical environment.

Australia’s central bank has reduced its benchmark interest by a quarter percentage point for a second time this year to 3.85% after inflation fell within a target range.

The Reserve Bank of Australia (RBA) has conceded reality that interest rates are too high for Australia’s economy. Many consumers have struggled with the burden of the ‘cost of living’ crisis. The daily reminders are the expensive visits to the supermarkets and the extra-ordinary costs of housing whether you have a mortgage or are a renter.