Rising house prices, rents and a twitchy inflation rate had some pundits predicting the Reserve Bank would lift rates again in October, but new governor
Prospective home buyers and investors are being warned to temper their expectations as the dust settles on the Reserve Bank’s first interest rate rise in years.
It wasn’t long ago that the Reserve Bank were forecasting interest rates to stay put until 2024, but rapidly rising inflation has them on the verge of pulling the trigger within months.
Higher than expected inflation figures have economists scrambling to adjust their forecasts of the next Reserve Bank interest rate rise.
The Commonwealth Bank has this week joined a couple of the other major banks and brought forward their expectations of an official cash rate rise.
The CBA have gone as far as to forecast rates to rise before the
Business conditions have remained flat since falling sharply in December according to the recent NAB survey and it has the bank predicting interest rates to be on hold until 2020.
