The Reserve Bank of Australia (RBA) has just announced a hold on the cash rate of 4.35% at today’s meeting.
August 2024 data shows unemployment rates steady at 4.2%, but this is up from a low of 3.5% in mid-2022. The US Federal Reserve reduced its interest rates by 0.50% to 4.75% last week to limit further deterioration in their job market and economists here are predicting that labour markets are the key to curbing inflation.
Previous forecasts from some of the big four banks, which had suggested a rate cut may happen in November 2024, are now indicating that the RBA is unlikely to lower rates until the new year.
Today’s decision underscores the importance of staying informed about economic developments and their potential impact on your finances.
Whether you’re considering buying a new home, refinancing your mortgage to secure better terms or exploring avenues for property investment, now could be an advantageous time to review your financial strategy.