That's good I like it. Banks price risk. Since the gov sold CBA...

That's good I like it. Banks price risk. Since the gov sold CBA to the public it really has no say anymore. Their primary concern is the shareholders. Part of their incentive is EPS not public happiness regarding interest payments. The problem I see is if they don't pass on the interest rate cut they will increase their short term profit, but will reduce the size of their loan book over the longer term. As people are always paying back or defaulting on their debt. I imagine it will be harder to squeeze a shrinking loan book over time. Short term they make more money, long term they will make less. Pricing the future risk maybe it's the right move.