May 06, 2014
As expected, the Reserve Bank of Australia (RBA) has left rates on hold at 2.5% for the ninth consecutive month.
The RBA felt there was no need to move rates with weaker than expected inflation data for the March quarter meaning the annual rate was 2.9%, which is inside the RBA's target range of 2-3%.
Also the unemployment rate dropped 0.2% in March and is now at 5.8% which suggests the Australian economy is in good shape at the moment.
Property prices are also growing at a more moderate rate with RP Data reporting that dwelling prices increased 3.5% nationally for the first quarter of 2014.
Most economists are still predicting the next move for rates is most likely up, however this may not happen until later in the year at the earliest.
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