Australian interest rates

It appears that the government-funded jobs printer of the Albo era is slowing faster than the crushed private sector economy of the Albo era can catch up.

In last week’s monetary policy decision, the Reserve Bank of Australia (RBA) decided to keep the official cash rate on hold, citing resurgent inflation risks.

Since the ABS started publicly releasing its monthly CPI in late October 2022, it has been a source of controversy and debate.

Following the release of the monthly CPI for August, headlines about skyrocketing electricity prices began to circulate, highlighting the 24.6% year-on-year increase in electricity costs.

As expected, the Reserve Bank of Australia (RBA) has chosen to hold the official cash rate at 3.60%, in what was a unanimous decision.

Eliza Owen, head of research at Cotality, has published the following chart on the amount of principal and interest repayments for the median Australian dwelling value ($848,858) under the Albanese government’s 5% deposit scheme for first-home buyers, which comes into effect on Wednesday.

Belinda Allen, CBA’s Head of Australian Economics, believes that the probability of further rate cuts has slimmed amid stronger domestic economic data and stubborn inflationary pressures.

The Australian Bureau of Statistics (ABS) has released the monthly CPI indicator for August, which recorded a jump in headline inflation to 3.0%—the highest result since July 2024.

Belinda Allen, CBA’s Head of Australian Economics, believes that the Reserve Bank of Australia (RBA) will only cut the official cash rate (OCR) once more in November, given the recent stronger run of economic data.

Financial markets have extinguished hopes of the Reserve Bank of Australia (RBA) delivering a rate cut at the September monetary policy meeting. Their pessimism is warranted given the stronger-than-expected recent run of data from the Australian Bureau of Statistics (ABS).

Yesterday’s GDP figure has markets very upset.

Bloomberg has the scoop.

On Wednesday, the Australian Bureau of Statistics (ABS) released the monthly CPI inflation indicator for July, which recorded a jump in annual headline inflation to 2.8%, up from up a hefty 0.9% from the 1.9% reported in June.

Goldman with an important note.

The Australian Bureau of Statistics (ABS) has released the monthly CPI indicator for July, which reported a sharp jump in both headline and trimmed mean CPI inflation.

The sight of so many flabby central bankers running nowhere inside a rat wheel is enough to make you barf.

There is nothing a central banker likes more than to waste money while forcing everybody else into austerity.

With the release of the Reserve Bank of Australia’s (RBA) latest Statement on Monetary Policy last week, the media focus was swiftly placed squarely upon the RBA’s forecast that productivity growth would be anaemic 0.7% per year on a long-term time horizon.

Alongside this week’s 0.25% interest rate cut from the Reserve Bank of Australia (RBA), it noted that it expects to lower the cash rate “gradually”.

Albo is not a policy coward.

As expected, the Reserve Bank of Australia (RBA) cut the official cash rate by 0.25% to 3.60%.

ANZ has a funny cash rate analysis today.

The news on inflation continues to improve, following the latest benign Q2 CPI print from the Australian Bureau of Statistics (ABS). On Monday, the Westpac-Melbourne Institute (MI) monthly CPI gauge was released.

When the RBA released its forecasts for the economy in May, their expectation was that unemployment would rise to 4.3% by the end of 2025 and remain there until mid-2027, the conclusion of the forecast period.