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Lenders move to protect themselves amid rate hike predictions

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Australian Broker | 23 Sep 2013, 06:00 AM Agree 0
Banks are putting additional 'buffers' in place in order to cushion themselves against imminent interest rate rises
  • M C | 23 Sep 2013, 10:02 AM Agree 0
    Dont have a problem with strong 'buffers', particularly in these times of rising unemployment / underemployment & increased job uncertainty. However I do have a problem with 'Steve's comment (if indeed he made it) that interest rates are about to go up. With a stubbornly high A$, a transition from dependance on mining, & job uncertainty, pray tell me where the economic growth is coming from to put upward pressure on prices? If inflatiion is contained then why wouldn't rates stay in static position for some time to come? Was he referring to fixed rate movements & considering the yield curves? Please elaborate!
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