RBA cash rate

[Sharkman]

I feel sorry for the bunnies that believed Lowe 10 months ago, when he said rates would stay at the lows until at least 2024.

i'm not sure he ever said that TBH. i don't have the exact quote readily available, maybe someone who does can fill us all in, but from what i remember he said something along the lines of the RBA expecting rates to remain at the current levels until 2024 based on the currently available data (ie. implying that should the data change dramatically, that may no longer hold true). big difference vs saying we guarantee rates will remain steady until 2024.

the media took it all out of context for the sake of sensationalism (as they always do), it was them who put the words into the RBA's mouth in my view. that being said the RBA should have tried to correct them once all those dangerously misleading headlines started coming out. then again perhaps they did try, and the media chose to ignore it and not publish it, because why would the media let something like that get in the way of sensationalism.

 

[frugal.rock]

Yeah, I hear you @Sharkman

There's always the "read between the lines caveat" and if the media scrum and the general public can't rely on Lowe/ RBA, who can they rely on... Albanese?
Bandt? ??‍?

It's all about the vibe... Sure there wasn't any guarantees, but a heck of a lot of bunnies forged ahead based on his words.

YouTube only 7 months ago...

 

[againsthegrain]

Yeah, I hear you @Sharkman

There's always the "read between the lines caveat" and if the media scrum and the general public can't rely on Lowe/ RBA, who can they rely on... Albanese?
Bandt? ??‍?

It's all about the vibe... Sure there wasn't any guarantees, but a heck of a lot of bunnies forged ahead based on his words.

YouTube only 7 months ago...

There was voices saying rates will go up, 1 or 2 years in a frame of a lifetime is really not a long time. They were drowned out by all the "gurus" yelling money is cheap and its the new way. Whatever it is tulips bitcoins or unaffordable loans its always the same game over again, the Aussie way is to go kicking and screaming all the way to current affair and blame somebody else always somebody else

 

[divs4ever]

Yeah, I hear you @Sharkman

There's always the "read between the lines caveat" and if the media scrum and the general public can't rely on Lowe/ RBA, who can they rely on... Albanese?
Bandt? ??‍?

It's all about the vibe... Sure there wasn't any guarantees, but a heck of a lot of bunnies forged ahead based on his words.

YouTube only 7 months ago...

oh the joys of 'wiggle words '

 

[frugal.rock]

Id vita procedit

I consider myself to be lucky by being edumacated by learned types on this forum.
With thanks. ??

 

[frugal.rock]

No hairs on these rates rises, Brazilian C Bank (Banko Brazil).
Waiting on August decision, any minute now...
In comparison, would one think the RBA was slow as a wet week?

 

[againsthegrain]

Apart from a few bs media articles I haven't seen anybody gone homeless or struggling since last month's raise, people still going out eating, going holidays and doing renos.

We should be good for another .50 today.... hope

 

[SirRumpole]

The Greens are calling for Philip
Lowe to resign for "encouraging" people to take out loans by saying there would be no interest rate rises until 2024.

Pity he doesn't have clairvoyant powers that would have predicted the Ukraine war.

 

[divs4ever]

didn't need to be clairvoyant , it was coming for years ( some argue eight some argue five )

the only surprise is Russia has been so restrained about it ( Medvedev would have been much more emphatic )

the next bombshell will be Serbia

( at least in Europe , if the Middle East warms up , that will be much worse )

the EU is imploding and desperate to create distractions

 

[qldfrog]

didn't need to be clairvoyant , it was coming for years ( some argue eight some argue five )

the only surprise is Russia has been so restrained about it ( Medvedev would have been much more emphatic )

the next bombshell will be Serbia

( at least in Europe , if the Middle East warms up , that will be much worse )

the EU is imploding and desperate to create distractions

As soon as Trump was out, war was on, it would have started with Hillary if she had been elected, now serbians minorities are treated as Russians ones were in ukraine in 2014..and i expect same results.
No one growing on the land of his ancestry can be denied speaking his language or culture , or discriminatory behaviour and not react, especially if a whole cousin country next door can help them.Kosovo part II..
Imagine if we were treating aboriginal clans here as serbians minorities in Kosovo or Russian ones were in Crimea.
Anyway going off subject, but yes Europe is exploding, and maybe it is a good thing that the EU collapses
.the problem is that it is not brexit but a collapse with economic calamities, suffering and a high danger of wars, internal due to migrants population, and between states with the US fanning fires left and right,
and China/Russia quite happy to help..who would blame them.
Euro collapse, shortages will not help with inflation here..or anywhere

 

[divs4ever]

As soon as Trump was out, war was on, it would have started with Hillary if she had been elected, now serbians minorities are treated as Russians ones were in ukraine in 2014..and i expect same results.
No one growing on the land of his ancestry can be denied speaking his language or culture , or discriminatory behaviour and not react, especially if a whole cousin country next door can help them.Kosovo part II..
Imagine if we were treating aboriginal clans here as serbians minorities in Kosovo or Russian ones were in Crimea.
Anyway going off subject, but yes Europe is exploding, and maybe it is a good thing that the EU collapses
.the problem is that it is not brexit but a collapse with economic calamities, suffering and a high danger of wars, internal due to migrants population, and between states with the US fanning fires left and right,
and China/Russia quite happy to help..who would blame them.
Euro collapse, shortages will not help with inflation here..or anywhere

i was hoping the UK could handle it's own collapse ( as to me , the EU was a basket-case well before Brexit ) i , in no way envisaged the collapse would be ACCELERATED by such financial mismanagement and was hoping the UK could have managed a softer landing than some ( than the PIGS for instance )

... just as well i had prepper tendencies from a very young age ( looks like i am going to need them )

 

[rcw1]

Good morning
Reserve Bank of Australia will release minutes from its September policy meeting at 11.30am AEST.

Kind regards
rcw1

 

[CityIndex]

Retail sales data for August was stronger-than-expected at 0.6% (est. 0.4%), increasing market pricing for the RBA to take the cash rate into restrictive territory with another 50bps hike next month.

While the ASX200 reversed gains, the news doesn't seem to be providing any support for the Aussie Dollar, with AUD/USD currently trading at session lows. With the yuan falling to its lowest level since 2008, perhaps the dim economic outlook for Asia will continue to drag AUD lower.

All trading carries risk.

 

[Gunnerguy]

25bps Cash Rate rise .......... really !!!
Inflation to contiue .....
The RBA lost their bottle !!
US will go more than 25bps, AUD will suffer.
Gunneguy

 

[againsthegrain]

25bps Cash Rate rise .......... really !!!
Inflation to contiue .....
The RBA lost their bottle !!
US will go more than 25bps, AUD will suffer.
Gunneguy

yeah weak, maybe they bought into those media articles which are calling .25 a super sized hike. I guess good for gold with aud down

 

[waterbottle]

Gotta say I was surprised with 25bps.

All of the speeches coming out of the Fed have emphasised that central bankers have been moving in unison to fight inflation globally.
Either Phil Lowe is ahead of the curve or worryingly behind. We'll have to wait for the minutes to be released.

 

[CityIndex]

While there was speculation that the RBA would being to slow the pace of rate hikes after Gov Lowe's comments last month, markets were still widely expecting one last 50bps move today before that pivot.

AUD/USD has consolidated between 0.6400 and around 0.6530 over the past week, and there is still a lot of key US data this week, including the NFP report, that will likely play a key role in direction. All trading carries risk, but the pair could be exposed to break lower if the American economy shows signs of resilience and continues to support Fed aggression.

 

[JohnDe]

I think that the RBA have got it right.

After the Governor told everyone that Covid would ensure no rate rises until 2024 caused many of our youth to borrow, and then the recent increases have been the fasted in history, there was risk of mortgage defaults and bankruptcies.

The previous two hikes haven't had a chance to bight yet, and they will bight for some.

Interest rate hikes are a blunt tool. I for one do not want the economy to bludgeoned unconscious for the next few years.

My son and his mates are very happy today, and so is my share portfolio.

 

[Value Collector]

I think that the RBA have got it right.

After the Governor told everyone that Covid would ensure no rate rises until 2024 caused many of our youth to borrow, and then the recent increases have been the fasted in history, there was risk of mortgage defaults and bankruptcies.

The previous two hikes haven't had a chance to bight yet, and they will bight for some.

Interest rate hikes are a blunt tool. I for one do not want the economy to bludgeoned unconscious for the next few years.

My son and his mates are very happy today, and so is my share portfolio.

I agree, 0.25 a month is still pretty fast rises, no point of them over shooting, they can always increase faster next month if they have to.

 

[Smurf1976]

My thought is it’s the first step in what will become a “pivot” by central banks globally.

A slowdown in the pace of rate rises, then a pause, then the deep cuts when the wheels fall off.