Posts tagged "hiked interest rates"

Australia’s inflation rate has dived from 5.6% to 4.9% in October, pushing it below 5% for the first time in 20 months.

The prices quoted on the Australian Securities Exchange implied a 52% probability of an increase in the Reserve Bank cash rate next Tuesday and a 48% probability of no change.

If the Reserve Bank does push up interest rates again, the most likely next date is its next board meeting, on Melbourne Cup Tuesday.

What if the Reserve Bank achieves something truly remarkable – a steady decline in inflation without further interest rate increases, and without bringing on a recession?

With all signs pointing to an economic cool-down and further drops in consumer spending, the June rate hike is likely to rattle SMEs running out of expenses to cut.

The RBA’s latest forecasts now assume no further rate rises will be needed for inflation to fall back to the central bank’s 2-3% target range by mid-2025.

The decision to hike interest rates again after a month on pause has raised concerns the Reserve Bank could nudge the economy into a recession.

Small business demand for non-bank lending solutions has risen 50% over the last year, business lender ScotPac says, suggesting the time and effort required to obtain traditional financing, along with rising interest rates, are causing entrepreneurs to look further afield.

The RBA has been relying on house prices falling to help reduce consumption and lower inflation. The bank has left itself the option to lift interest rates next time it meets, in early May.

If you want to know what the Reserve Bank will be watching to work out how fast to slam on the economic brakes, here's a helpful guide.