Live interest rate updates: Reserve Bank raises cash interest rate by 0.25 percentage point

Thanks for your question James. Two points to make here. Part of the reason the RBA is raising interest rates so quickly is because it tries to keep up with the US Federal Reserve’s rate hikes. If we kept interest rates stable in Australia while the US Fed continued to push rates in the US, … Read more

Inflation, interest rates: CPI rises to 6.8 percent in August

The rising cost of fruits and vegetables has helped inflation in Australia remain at its highest level in 30 years, new data shows. The Australian Bureau of Statistics’ new monthly inflation measure showed that the pace of price increases reached 7.0 percent in July and slowed slightly in August to 6.8 percent. Rising construction costs … Read more

Peter Dutton warns US recession is inevitable

Opposition leader Peter Dutton has stated that the US will enter a recession, and “this prime minister knows what is coming”. The big call comes as treasurer Jim Chalmers prepares to transfer his first budget next month, which he says will be a “bread and butter” effort to curb inflation. The opposition is warning him … Read more

RBA, Real Estate: Within $3.8 Trillion Prediction Error in the Real Estate Market

Inflation is soaring, interest rates are rising and rumors of a recession in Australia and around the world are peaking. The real estate market has softened after the highs of 2021 and is expected to decline further in the coming months. Fear and uncertainty is great. But with the massive forecasting errors made by banks … Read more

Price of Queen Elizabeth Face Coins Shoots to $300 Amid King Charles Coin

Collectors try to get their hands on coins with Queen Elizabeth’s face as prices skyrocket after her death. Alan Marks, owner of Melbourne Coins & Collectables Co, said there is currently “insane demand” for collectible coins printed with the Queen’s portrait. “Collectors are insane and post-market prices are skyrocketing,” he said. The most popular coin … Read more

Which banks are passing on the latest RBA rate hike to mortgage holders? NAB kicked it off, then ANZ and Commonwealth followed

On Tuesday, the Reserve Bank of Australia (RBA) raised interest rates by 0.5 percentage points, bringing the target for the spot interest rate to 2.35 percent. It was not until Friday afternoon that the National Australia Bank (NAB) and ANZ announced that they would pass on the increase in full to mortgage holders. On Friday … Read more

The Reserve Bank plans to raise cash rates again just as Australia’s economic tectonic plates are shifting

Change is in the air and for many it is deeply disturbing. The financial markets, for example, are betting on a higher-than-even chance that the Reserve Bank will raise its cash interest rate again by 0.5 percentage points on Tuesday as it – and other central banks – grapple with the worst inflation breakout in … Read more

Mortgage borrowers and tenants told to brace themselves for major financial blow in December

The full budgetary impact of the second most aggressive rate hike cycle in Reserve Bank history will be felt by millions of households for months to come. Most important points: Economists warn mortgage customers have only felt the impact of the first RBA rate hike That’s because there is a delay between when an increase … Read more

The Reserve Bank does not have enough information to do accurate interest rates, says former board member

A former board member of Reserve Bank says that the method on which the RBA trusts to activate interest rate increases is poor. Warwick McKibbin was in the reserve Bank Board from 2001-2011 and is a professor of economics at Australian National University. The bank’s main policy focus has been to keep inflation — or … Read more

Unemployment falls back to new low, but cause of decline is not good news

The official unemployment rate fell to 3.4 percent in July from 3.5 percent a month earlier. Most important points: Unemployment drops from 3.5 percent in June to 3.4 percent in July An estimated 40,900 jobs were lost in July, the first drop in employment since October 2021 The decline in the unemployment rate was driven … Read more