The official cash rate was cut by 25 basis points to 7pc at the September RBA board meeting.

But the statement accompanying the change made it clear that the RBA viewed financial conditions as a little too restrictive given the slowdown in activity.

According to the Commonwealth Bank, the more detailed outline of the internal debate at the meeting confirms growing likelihood of a further rate cut, with the market anticipating a strong possibility of a 50 basis point cut.

"A follow up rate cut is in the pipeline," Commonwealth Bank senior economist John Peters said.

"But, as with the earlier statement, there was no great sense of urgency in the September minutes.

"The run of domestic economic data has been encouraging – retail spending and consumer confidence bounced, the rate of decline in some housing indicators has eased, employment is still rising and the unemployment rate remains very low.

"But the global credit crisis has intensified."

A hint as to how the RBA balances out these opposing forces may come with a speech by RBA Governor Glenn Stevens to the Australian Institute of Company Directors tomorrow.