Anyway, banks do not pass the cut in full. Borrowing is not easy atm. Who is happy? Warnie or Mr Keen?
It's not a time to decide who is happy with the RBA cut. The effect of a stimulus needs a time to respond. That response function can be quite drastic if there is a trigger point. There might be a trigger point where the unemployment rate can trigger cascade effects in the economy. That's why RBA keeps cutting the cash rate in order to avoid such a catastrophe. Hopefully, the RBA measures and government stimulate packages work.
Anyway, the property price is so much inflated regardless the supply and demand relation. Even though the demand exceeds a lot the supply, at a certain point, the price can not go up further because people can not afford to bid and give up. That may be happening now because not many investors in the property markets. Mostly FHB support the property markets atm.
Now the most important variable in property mkts as well as Aussie economy is now the unemployment rate, IMO.
