The Spectre of
Rising Interest Rates

Posted on 08. Feb, 2011 by Chris Lang.

The Reserve Bank of Australia (RBA) is not seeing the Australian flood disasters as having a prolonged effect upon the national economy.

It certainly expects the March quarter GDP to decline by 0.5%. But it is then projecting a 4.25% surge, over the remainder of this year.

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Why November?

Posted on 05. Nov, 2010 by Chris Lang.

Most people seemed taken by surprise, when the RBA chose to raise the cash rate to 4.75% on Cup Day this week. However, with Oaks Day being held yesterday, I thought today would be better timing for this post. Sure, the September quarter CPI had fallen to within the RBA's target range. And yes, there [...]

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Will Interest Rates Affect
Commercial Yields?

Posted on 07. Apr, 2010 by Chris Lang.

Yesterday, the RBA confirmed an upward bias with its latest rate increase. This table from today's Financial Review seems to sum up the RBA's position fairly well. Residential property prices are still surging (particularly in Sydney & Melbourne); and our commodity exports have also regained their momentum. As such, the RBA has decided that Australia [...]

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Was the RBA Asleep at the Wheel?

Posted on 04. Mar, 2010 by Chris Lang.

In fact, the RBA has been cautious ... NOT asleep! Last week, we covered the statistical anomaly relating to Australia's low unemployment figure. And that may well have influenced the RBA in holding rates steady last month. Although, the patchy spending in December and January probably coloured their thinking as well. Nonetheless, you continue to [...]

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