The RBA announced this morning that it will hold the cash rate unchanged at 4.75% for the 14th consecutive month. As usual the RBA gave no reasons for its decision.
Many market analysts do not expect rates to change for the remainder of this calendar year. This has been reflected in the majority of lenders increasing their 3 to 5 years fixed rate over the past few weeks.
Cheers
Stu
Property & Finance News
at http://www.prosolution.com.auHi Stuart. I know this question is along the “how long is a piece of string?” type question, but I was just wondering your thoughts on if and when interest rates will go up or down.You mentioned a lot of lenders are increasing their fixed rates, does this indicate that they think the next move in rates will be up?
Cheers
Marty
Hi Marty
It is a difficult question. In my opinion, it’s too hard to forecast anymore than 3 months ahead (a lot can change in 3 months). At this stage I can’t see rates moving at all for the next few months.
I think the banks became a bit optimistic and reduced fixed rates. Now that they have sobered up they are readjusting their outlooks.
But at then end of the day your guess is as good as mine.
Cheers
Stu
Property & Finance News
at http://www.prosolution.com.au
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