𝗜𝗻𝗳𝗹𝗮𝘁𝗶𝗼𝗻 𝗥𝗶𝘀𝗲𝘀 𝘁𝗼 𝟱.𝟲%
It was only a few weeks ago that most economists thought interest rates had peaked. Now, after the latest inflation figures, the Reserve Bank of Australia (RBA) might be about to hike the cash rate again.
Inflation has now risen for two consecutive months, from 4.9% in July to 5.2% in August and 5.6% in September, according to the Australian Bureau of Statistics' monthly consumer price indicator.
The reason the RBA previously made a series of cash rate increases was to reduce demand in the economy and thereby return inflation to its target range of 2-3%.
In a speech on October 24, Reserve Bank governor Michele Bullock said the RBA is focusing on “bringing inflation back to target within a reasonable timeframe” and “will not hesitate to raise the cash rate further if there is a material upward revision to the outlook for inflation”.
The RBA’s next monetary policy meeting will be held on Tuesday November 7.
Subiaco finance brokers are here to help
Interest rate rises are here, but you don’t have to fear with the right broker on your side.
The team at Sonam Capital are here to empower you through financial knowledge. We’ll take the time to get to know you and your unique situation and speak in a language you can understand, with strategies you can implement for the best possible outcomes.
Nick, Wayne and Amanda at Sonam Capital are your Subiaco finance specialists.
