Interest Rate Update – August 2018

Cash Rate – No change

The Reserve Bank of Australia (RBA) has just announced it will maintain the official cash rate at 1.50%.

The past few months have seen an improvement to our GDP growth to 3.1%, a drop in the unemployment rate, a brightening outlook for mining investment, strengthening non-mining investment and a strong growth in export volumes.  However, we are also experiencing the continuing weak growth in wages (and inflation), reducing property prices in Melbourne and Sydney and the uncertainty driven by the US-China trade war.  This mixture of positive and negative economic data are an important reason why the RBA has decided to remain on hold for the foreseeable future.

For more information, or if you would like a free review of your residential, commercial or SMSF loans against other competitive products in the market please contact Peter, David or Simon via this email, our phone: (03) 9882 2500, or visit www.firstpointgroup.com.au