Interest Rates

November 17, 2014 3:06 pm

Are Rate Cuts Still Possible?

2023-03-03T00:01:37+10:00

Chief Officer for Investments of Saxo Bank Steen Jakobsen has been long forecasting further rate cuts as majority of economists predict a rate hike for next year. With falling commodity prices and rising unemployment, how low can we really go? Rate cuts are most likely to happen to support the economy, according to Jakobsen, with predictions of as many as four more rate cuts that will drop the official cash rate to a record low 1.5%. He believes that this is necessary to avoid a housing bubble and that there is a chance of a recession in 2015 if rates [...]

Are Rate Cuts Still Possible?2023-03-03T00:01:37+10:00

October 14, 2014 1:54 pm

AU Dollar Falling: Are We Supposed to Worry?

2023-03-03T00:01:37+10:00

The Australian Dollar has been on a downward spiral as it finished below US 90¢ from a high of $1.10 back in 2011. Is the Australian economy weakening, or is there a valid reason for the currency drop? The United States economy has been recovering for the past months, making the US dollar stronger and inversely, the AU dollar fall. Because of this, our exports are valued lesser than before. It doesn’t mean that the economy is weakening, but just a ripple effect of the US and Chinese economy recovery. As the global market changes, there will always be winners [...]

AU Dollar Falling: Are We Supposed to Worry?2023-03-03T00:01:37+10:00

14 month hold for record low interest rates

2023-03-03T00:01:37+10:00

As expected, the Reserve Bank of Australia has kept the cash rate at 2.5% for the 14th straight month, the longest in more than a decade. RBA governor Glenn Stevens said that credit growth has been growing at a moderate pace and that dwelling prices have continued to rise. The interest rate supports the current state of the economy as it is expected to be below trend for the next several quarters. The Australian dollar has been taking a plunge in the past month, dropping to 86.43 US cents from a high of 94 cents. Despite this, the dollar has [...]

14 month hold for record low interest rates2023-03-03T00:01:37+10:00

August 5, 2014 2:02 pm

Get in the know: 10 Things About the Current Interest Rates

2023-03-03T00:01:38+10:00

The Interest Rate is currently pegged at its lowest level in history, and while the RBA is set to deliberate its fate later, here are the 10 things you need to know about the current Interest Rates: The current Interest Rate is 2.5%. It is at the lowest level in history. The Interest Rate was cited as a major driver of housing affordability in 10 years, according to the HIA-CBA Housing Affordability Index. The Interest Rates are at its current levels for over a year, when the Reserve Bank reduced it to 2.5% in August 2013. The lowest the Interest [...]

Get in the know: 10 Things About the Current Interest Rates2023-03-03T00:01:38+10:00

July 2, 2014 2:52 pm

Another Financial Year Ends: Predictions For The Future

2023-03-03T00:01:38+10:00

The financial year has come to an end and it is but fitting that we provide you with predictions from top economists on what to expect for the year ahead. Sharemarket predictions. NAB Chief economist Alan Oster expects sharemarket success to continue after ending the financial year up by 12%. He is predicting a 10% increase, citing the relatively weak domestic demand as a factor. Consumer predictions. With major non – mining sectors still in the recovery phase, ANZ chief economist Warren Hogan believes that additional investments and jobs will trigger increased consumer confidence. He also points out that despite [...]

Another Financial Year Ends: Predictions For The Future2023-03-03T00:01:38+10:00

November 6, 2012 3:35 pm

NEWSFLASH: Reserve Bank Holds Steady

2023-03-03T00:01:43+10:00

  When the Reserve Bank met earlier today, the board decided to leave the official cash rate at 3.25%. While there weren’t very many positive indicators in the statement by Reserve Bank Chairman Glenn Stevens, there was some indication that various areas of the economy stabilising. There is still concern regarding the situation in Europe and the Chinese expansion moderating. “The terms of trade have declined by about 13% since the peak last year but are likely to remain historically high”. Financial markets are making some progress although there is a long way to go yet and capital market are [...]

NEWSFLASH: Reserve Bank Holds Steady2023-03-03T00:01:43+10:00
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