Category: cut
Lowered inflation paves way for rate cut
Last week saw the Australian Bureau of Statistics release the Consumer Price Index for the September 2011 quarter. In good news for home owners and prospective borrowers, the measure, which serves as the official inflation data referred to by the Reserve Bank of Australia when setting the official cash rate, was unexpectedly low. The September quarter saw the CPI rise by 0.6 per cent, down from the 0.9 per cent rise seen in the June quarter 2011. Over the year to...Read complete post
Interest rates on hold for October, but a cut may be on the cards
Last week saw the Reserve Bank of Australia elect to keep the official cash rate on hold at 4.75 per cent. This was the tenth consecutive month that the decision has been made to keep rates steady. Despite this prolonged period of rates on hold, 2011 has certainly been a rollercoaster year in terms of interest rate predictions. Not long ago economic conditions suggested that the only question regarding a move by the Reserve Bank to increase the official cash rate was not ‘if’...Read complete post