Even the Finance Minster's been caught by surprise, by today's sharp drop in GDP

GDP's fallen 0.9 percent in the June quarter -- much further than the Reserve Bank and all economists had been expecting.

The Finance and Economic Growth Minister says uncertainty over Donald Trump's tariffs and the resulting international uncertainty has been weighing on businesses and households.

But she says no one was picking such a big drop.

Willis says forecasts are crystal balls, and the Reserve Bank will need to reflect on the size of the contraction when making future interest rate decisions.