Relief likely as Reserve Bank tipped to hold cash rate
The Reserve Bank is widely tipped to leave interest rates on hold for the first time this year despite inflation still being above target levels.
The Reserve Bank is widely tipped to leave interest rates on hold for the first time this year despite inflation still being above target levels.
Borrowers can finally expect relief from quickfire interest rate rises with the Reserve Bank poised to maintain the status quo for the first time in 2026.
Economists are split on whether the Reserve Bank's latest cash rate decision heralds the end of the hiking cycle or merely a pause before the next move upwards.
Stagnant productivity means households face higher inflation and lower living standards but the treasurer hopes cheaper housing will ward off voter discontent.
Despite property prices falling, the annual income required to afford a median house has risen by thousands of dollars in Sydney and Melbourne since January.
Slowing economic activity and softer price growth could convince the Reserve Bank to keep rates on hold, with inflation pressures weaker than initially feared.
Reserve Bank governor Michele Bullock will get a chance to react to Wednesday's economic growth figures when she fronts a parliamentary hearing in Canberra.
A short-lived reduction in the fuel excise has provided some momentary price relief but inflation will only worsen without a resolution to supply blockages.
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A cut in the fuel excise caused annual headline inflation to fall, but the underlying impulse for price pressures is still gathering steam.
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Tax changes in the federal budget will likely shift property investors to new houses in the outer suburbs and inner-city apartments, economists say.
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An extra $114 billion in federal government spending will be directed off-budget as the treasurer claims a "historically responsible" fiscal update.
Labor has made a pre-budget pitch to young Australians on social media as the government shakes up the tax system to help more people buy homes.
Higher rates and affordability pressures are threatening to push the housing market into a decline, with prices in the two biggest cities already on the slide.
The government will do well to resist spending a "tantalising" budget windfall, as boosting demand while supply is constrained could result in more rate hikes.
The US central bank is leaving its interest rate unchanged for the third straight meeting but signalling it could still cut rates in the coming months.
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Traders and economists expect the central bank to raise interest rates for a third straight meeting but high uncertainty could result in another split decision.
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Millions of Australians could receive an income offset in the budget, but the Reserve Bank is cautioning against the federal government increasing spending.
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Mortgage holders are back to square one after a third straight Reserve Bank rate hike, adding hundreds of dollars more to interest repayments since February.
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With the Strait of Hormuz still shut and stockpiles running down, economists warn fuel prices could spike above levels previously seen during this oil crisis.
The Reserve Bank is worried about 1970s-style runaway inflation if it loses credibility in fighting inflation, as analysts warn of up to five more rate hikes.
Consumer and business confidence has taken a dive following the Iran conflict, highlighting the Reserve Bank's dual fears of falling activity and rising prices.
The labour market will be top of the economic agenda in the coming week, while speaking engagements from central bank officials will be closely studied.
Analysts and governments will pore over latest economic data this week for more insight into the devastating impact of soaring fuel prices on the nation.
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Australia's housing market is diverging as the biggest capitals go backwards while growth accelerates in mid-tier cities.
Australia is staring down the barrel of inflation above five per cent as a result of the Iran oil supply shock, economists from the Commonwealth Bank warn.
Central bank watchers will get to peak into the Reserve Bank board room as minutes of a meeting that split 5-4 in favour of an interest rate hike are released.
Australia's central bank must abandon its narrow path and choose between getting inflation down quickly or keeping unemployment low, economists say.
The Iran war will hurt consumers by pushing up prices and slowing the economy but the Reserve Bank must act to contain inflation expectations, an official says.
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Construction contractors are already hiking prices due to rising fuel costs, in a sign the US-Israeli war in Iran is contributing to economy-wide inflation.
February consumer price data to be released on Wednesday will shape the Reserve Bank's thinking on interest rates ahead of a crucial meeting in May.
Fresh modelling shows oil price shocks and soaring prices for other commodities will have a lasting impact on Australia's economy.