20. December 2014 00:23
Based on the meeting last December 02, 2014, The Board decided to leave the cash rate unchanged at 2.5%. Global economy is continuing at a moderate pace & Australia is one of the countries that has moderate pace. Interest rates really affect the performance of the market.
According to Governor Glenn Stevens, “Interest rates are very low and have continued to edge lower over the past year or so as competition to lend has increased.”
When the economy will boost and interest will drop, definitely it really helps the market to boost especially the Perth’s housing market. However, Australian dollar is falling and help to attract foreign interest. Because of the performance and the higher confidence, it can cause optimism. There is a potential rate cut in the middle next year and could encourage more buyers and investors.
14. November 2014 22:22
As its meeting last November 04, 2014 of Monetary Policy Decision, the Board decided to leave the cash rate unchanged at 2.5%. Reserve Bank of Australia has enough reason to leave the cash rate on hold for a long time; the Australian dollar has fallen and Business confidence fell for how many months. Growth is the global economy also is continuing at a moderate pace. Markets still appears to be attaching a downturn probability and have a consistent moderate growth in economy. Monetary Policy fosters a sustainable growth in demand and provides support to balanced growth in the economy. House price growth is now in moderate pace which driven the interest rate uncut until next year. Therefore, when the market continues swinging and subdued, interest rate is likely to be stable.
4. July 2014 18:14
Reserve Bank of Australia released a statement last July 01, 2014 by Governor Glenn Stevens, the Board decided to leave the cash rate unchanged at 2.5%. Lots of factors may somewhat affect why RBA leave the cash rate as is. Although, growth in global economy is moderate but the consumer demand is high. Low interest rate had been impact on the economy but we need to evaluate first. People may think and believes the possible interest rate cut on August. If the RBA moves the cut rates, it maintains the growth and the stable currency which help pushes the economy to boost.
5. June 2014 20:55
At its meeting last June 03, 2014, The RBA Board decided to leave the cash rate on hold at 2.5. It shows that interest rate is stable till this 3rd quarter of the year. The global economy growth is in moderate pace. Many factors will be considered why interest rate unchanged. A financial condition is very accommodative and labor market is showing some improvements. The exchange rate remains high and monetary policies foster the sustainable growth.
Based on Citigroup Head of Economics Paul Brennan, “The figures show that the economy should rebalance away from being driven by mining investment smoother than previously expected.”
8. May 2014 17:09
Based on May 06, 2014 Board meeting, the board decided to leave the cash rate unchanged by 2.5%. Monetary policy is appropriately to foster sustainable growth in demand and continued accommodative to support the demand. Many are enjoying the 9 straight months of record low interest rates, would it sustain and help the growth to strengthen the market?
According to RBA Governor Glenn Stevens, “On present indications, the most prudent course is likely to be a period of stability in interest rates.” There are some factors which downturn to help the market. Signs of improvement in investments in other sector are soften and demand for labor has been weak. Therefore, unemployment has risen and exchange rates become low.
11. March 2014 18:21
On March meeting, Reserve Bank of Australia (RBA) released the cash rate on hold at 2.5%. This is a sign that economy shows good signs because construction sector performs well. Mining construction subdued but industrial sector like construction plays a big role to help sustain the recovery. As expected, performance of the construction industry is very strong for a long time, many expects that RBA will cut the cash rate by the end of the year.
According to Alan Oster, Chief Economist at National Australia Bank, “RBA may be forced to cut rates this year because of rising of unemployment and the continued unwinding of the mining investment boom.”
16. January 2014 20:15
According to the Commonwealth Bank Chief Economist Michael Blythe, “The figures from the Australian Bureau of Statistics (ABS) published on Monday meant the Reserve bank would not cut he ash rate during this cycle.” Since interest rate is stagnant, probably house prices continue to rise. But still there is hope that within 2014, interest rate may cut and if that will happen, it will expect to weaken the Australian dollar. RBA considers a lot of factors before cutting rates. Although, housing markets was doing well and it was strengthening but unemployment would continue to rise. We are still optimist about the possible interest rate cut soon.
18. December 2013 18:39
According to the Reserve Bank of Australia (RBA) in the minutes of its December Board Meeting, “It would not close off the possibility of cutting the cash rate again but decided to hold steady at the record low of 2.5% in December to allow previous cuts to continue filtering through the economy.” The RBA still hope that it could possibly another cut in interest rate. Despite, boosting in Business confidence, increase in investment and expecting growth for the following year. Interest rate may still on hold till the end of the year. Some factors responded the lower interest rate especially the housing but are not like the mining investment. Economists are less optimistic about the economic outlook. RBA was open to the possibility of further rate cuts but it is still very mild.
21. November 2013 18:11
Interest rate remains the same with 2.5 basis points. Economists believe that there is no interest rate cut until the year ends. The forecasts are, predicted on a constant exchange rate. But we cannot predict the economy because sometimes it is swinging. But there will be forecasts that there will be a possible cut next year. Will it be possible?
Westpac’s Chief Economist, Bill Evans, after the RBA’s meeting, he sees a possible two more cuts in 2014. According to Bill Evans, the stubbornly high Australian dollar, and a weaker than expected housing led recovery. If the housing market condition strengthens, it associated boost to wealth. Business and consumer confidence should strengthen to sustain the economy into 2014. If it will happen, interest rate may cut and possibly it will drive the housing market to boost.
6. November 2013 17:58
During the Melbourne Cup Day board meeting, Reserve Bank of Australia kept the cash rate at a record low of 2.5%. RBA still consistent with their October decision to leave rates on hold as expected.
According to RBA Governor Glenn Stevens, “Economic growth was still a little bit below trend, but he expects the economy to pick up next year.” Lots of factors why RBA decided to leave interest rate on hold. The currency is higher compared with past a month which drags the economy weaker. The currency needs to be in the level of exchange to help the balance growth in the economy. But December is approaching, we need to be still optimistic and be hopeful that by the end of the year, we will have a better economy.