Reserve Bank interest rate meeting?

[carmo]

Hi All
Can anyone tell me the reserve bank meets again to review interest rates?
carmo

 

[krisbarry]

Re: Reserve Bank Interest Rate

First Tuesday of every month.

 

[krisbarry]

Re: Reserve Bank Interest Rate

...Then on the first Wednesday of every month the announcement is made avaliable to the public regarding its decision to raise, lower or keep steady the rates.

All indicators point to another rate rise b4 years end.

 

[scsl]

Re: Reserve Bank Interest Rate

...Then on the first Wednesday of every month the announcement is made avaliable to the public regarding its decision to raise, lower or keep steady the rates.

All indicators point to another rate rise b4 years end.

Then during the day following the announcement, the stockmarket reacts wildy (up or down) depending on the decision and the RBA's statement/outlook.

 

[TraderPro]

Re: Reserve Bank Interest Rate

Check their website http://www.rba.gov.au for the exact time and date...

They also publish the latest moves on their website the exact minute it is announced.

 

[noirua]

Re: Reserve Bank Interest Rate

RAtes always seem to be raised above the level required and in contrast, below that needed. Commodities are pulling things one way and housing the other. Rates are best kept in line with Europe, UK ( also part of Europe but not in the monetary mechanism ) and the USA. That average is around 4.5%.

 

[noirua]

Re: Reserve Bank Interest Rate

Reserve Bank of Australia - Mr Ric Battellino, Deputy Governor. "Global Monetary Developments", 28/5/2009.

http://www.brr.com.au/event/57971/global-monetary-developments

 

[Datsun Disguise]

Decisions are announced at 2.30pm on 1st Tuesday of the Month.

What are the thoughts on what should happen to provide the right stimulus? I have heard the argument that our high (compared to US, Japan, Britain) rate is now contributing stronly to our higher dollar. A higher dollar means less earnings from exports and therefore less money flowing into our economy - slower recovery?

My other personal bug bear is the wayt banks are not handing on the cuts - if you add up the cust kept by the banks and independant (of the RBA) rises in rates the gap between RBA rates and bank rates has increased by over 1. Inflation continues to contract, are we headed for deflation - that would be ugly.

Slash those rates I say - what's the opposing view and why?

 

[MACCA350]

Slash those rates I say - what's the opposing view and why?

Raise those rates I say - sick of the cr@ppy savings rates.........given the flood of FHB in the last couple of months, I think they slashed the rates too far.

That's my

 

[tehnoob]

Slash those rates I say - what's the opposing view and why?

How about because cheap credit is the root cause of the GFC and lowering rates further will just reinflate asset prices? Just putting it out there.

 

[kincella]

hello, only 25% of all those sales and loans were to the FHB's club....the rest were upgraders or downgraders...and its keeping the economy going, keeping some people in work...
probably heading for deflation...so rates need to drop furhter to avoid that

 

[Datsun Disguise]

How about because cheap credit is the root cause of the GFC and lowering rates further will just reinflate asset prices? Just putting it out there.

I don't think cheap credit was the problem - shoddy lending practices was the root cause. Cheap lending would be great if it was only lent to people / projects that had a capacity to service the loan.

Slash the rates, regulate the banks lending practices(I don't hold bank shares). I still recall when I was looking for my first house 8 years ago being told I could borrow up to $700,000 on my wage of $70k and my wifes of $40k. They assumed 2 wages would continue and that we could sustain ourselves on a can of baked beans per day (between us..) I was disgusted by that and reckon it hasn't changed much.

 

[Largesse]

I don't think cheap credit was the problem - shoddy lending practices was the root cause. Cheap lending would be great if it was only lent to people / projects that had a capacity to service the loan.

Slash the rates, regulate the banks lending practices(I don't hold bank shares). I still recall when I was looking for my first house 8 years ago being told I could borrow up to $700,000 on my wage of $70k and my wifes of $40k. They assumed 2 wages would continue and that we could sustain ourselves on a can of baked beans per day (between us..) I was disgusted by that and reckon it hasn't changed much.

but think of how many spare bedrooms you could have had!

 

[Beej]

I still recall when I was looking for my first house 8 years ago being told I could borrow up to $700,000 on my wage of $70k and my wifes of $40k. They assumed 2 wages would continue and that we could sustain ourselves on a can of baked beans per day (between us..) I was disgusted by that and reckon it hasn't changed much.

But no-one was holding a gun to your head and telling you HAD to borrow the full $700k right? This situation is much better than being told that you can't get anywhere near what you know you could easily afford to repay (as would happen if we had real local credit rationing)!

Cheers,

Beej

 

[MRC & Co]

Pretty obvious result today, anyone notice the quick squeezes on bonds, AUD and SPI afterwards? Knowing which way traders would probably go following a no cut.

 

[tehnoob]

hello, only 25% of all those sales and loans were to the FHB's club....the rest were upgraders or downgraders...and its keeping the economy going, keeping some people in work...
probably heading for deflation...so rates need to drop furhter to avoid that

Are you serious? So trillions of dollars pumped into the global economy, $80 odd billion of that (around 7-8% of GDP) committed to in the last 6 months. How does deflation arise?

Some of that money has clearly made it into equities as the fundamentals have changed little since October yet SP's are up over 20% from their lows. That there is (re)inflation.

 

[tehnoob]

I don't think cheap credit was the problem - shoddy lending practices was the root cause. Cheap lending would be great if it was only lent to people / projects that had a capacity to service the loan.

I agree that lenders were too lenient, however Alan Greenspan himself has admitted that he dropped rates too low.

 

[bigdog]

There are no prizes for being first to raise rates!


http://www.wabusinessnews.com.au/en-story.php?/1/75716/RBA-lifts-interest-rate-by-25bps/dba

RBA lifts interest rate by 25bps
6-October-09 by Rebecca Lawson

Australia has become the first western economy in the world to lift interest rates with the Reserve Bank of Australia today increasing the official cash rate by 25 basis points.

The interest rate lift to 3.25 per cent follows a previous warning by Reserve Bank governor Glenn Stevens that the official rate would need to rise as economic indicators suggested the local economy was faring better than expected.

A week ago, most economists were tipping the RBA to leave rates on hold at the 49 year low of 3 per cent, however some market observers were warning of a rate rise today.

 

[prgudula]

At its meeting today, the Board decided to raise the cash rate by 25 basis points to 3.25 per cent, effective 7 October 2009.



http://www.rba.gov.au/MediaReleases/2009/mr-09-23.html

 

[boofhead]

This is interesting as only last week the banks were saying they don't expect to raise rates before the next RBA increase in rates. Perhaps their analysers were very confident of what was about to come.