Interest Rates
01/12/2007
THE Reserve Bank is struggling to keep runaway spending within the economy's capacity, prompting forecasts of another official interest rate rise within the next three months.
Interest rates are at their highest since July 1996 and the average standard variable mortgage is now at 8.57 per cent.
A rise in February 2008 which is after the next set of inflation numbers is almost a certainty and the widening rate differential between Australia and the US sent our dollar soaring to heights of US93.74c which is another 23-year high.
Macquarie Bank senior economist Brian Redican said the higher interest rates - now in restrictive policy territory - were not slowing the economy as much as they did in the past.
7 Nov. 2007. +0.25 = 6.75
8 Aug. 2007. +0.25 = 6.50
8 Nov. 2006. +0.25 = 6.25
2 Aug. 2006. +0.25 = 6.00
3 May. 2006. +0.25 = 5.75
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