RBA set to hold rates as price pressures remain

Mortgage-holders should be spared further weight on their debt burden following the Reserve Bank of Australia’s board meeting this week, say economists who broadly agree a pause in rate hikes will endure.

With the economy growing feebly, the labour market slowly unwinding and inflation well down from its peak, albeit still above target, all four major banks expect the next interest rate move to be down. The latter was unlikely to shift the dial, Mr Aird said, as the Fair Work Commission’s 3.75 per cent rise lined up neatly with the RBA’s expected trajectory for wages growth across the entire workforce.

Of late, the RBA has been leaving its options open on rate moves up or down, preferring not to rule anything in or out. Stocks on Wall Street closed lower on Friday after the US Federal Reserve reduced its projected rate cuts from three to one by year’s end. This ended a four-day run of record closing highs, but there were gains in Adobe and other technology shares.

Source: Loan Digest (loandigest.net)

Australia Latest News, Australia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Interest rates: RBA ‘one bad inflation report’ away from raising rates, say economistsYields rose and equities sank on Wednesday, after another hot inflation print fanned rate rise worries among Australia’s traders and economists.
Source: FinancialReview - 🏆 2. / 90 Read more »

RBA interest rates: Economists urge Fair Work Commission to be ‘sensible’ about minimum wageThe Fair Work Commission is expected to lift the minimum wage by 3.5 per cent to 4 per cent next week, but economists warn that anything more will add to inflation.
Source: FinancialReview - 🏆 2. / 90 Read more »

RBA interest rates: Treasurer Jim Chalmers’ budget is ‘expansionary’, says internal RBA analysisLabor’s third budget adds more money into the economy this year than it takes out, making it ‘slightly expansionary’, according to RBA research.
Source: FinancialReview - 🏆 2. / 90 Read more »

RBA set to hold rates as price pressures remainEconomists still expect the next rate move will be down, but mortgage-holders might have to wait until next year to see it.
Source: brisbanetimes - 🏆 13. / 67 Read more »

RBA set to hold rates as price pressures remainEconomists still expect the next rate move will be down, but mortgage-holders might have to wait until next year to see it.
Source: theage - 🏆 8. / 77 Read more »

RBA Interest rates: Reserve Bank can still cut rates this year, say Fitch RatingsThe ratings house view is increasingly at odds with traders, which have pushed pricing for the Reserve Bank’s first rate cut beyond June 2025.
Source: FinancialReview - 🏆 2. / 90 Read more »