The Reserve Bank won’t be raising interest rates anytime soon. Here’s why
Next month, should the Reserve Bank once again keeps interest rates on hold (rated a 100% chance in the market) it will mark 91 months – more than seven and a half years – since the RBA last raised the cash rate (in November 2010) from 4.5% to 4.75%. And despite warnings from the RBA governor that the next change in interest rates will likely be a rise, the latest housing finance figures suggest this current period without a rise is set to continue.
We are now experiencing the longest run without a rate rise in the RBA’s history – well beyond the 58 months during the mid to late 1990s when the RBA took the cash rate from 7.5% to 4.75%.
Read the full article on The Guardian.