No problems in the world don't just go away. Well, they could if we could just magically find funding for Australia's huge debt.
Have you checked out the term depositis that the banks are offering at the moment.
Westpac has 8% for a 5 year term. Plenty have 6% for 6 mnths to a year.
The official cash rate set by the RBA is only one piece of the puzzle.
The world's problems haven't gone away - they have jsut been shifted from private to public. Unfortunately when the SHTF - as we saw last year - Aust is treated like a developing economy (one horse resource). And govts can only 'guarentee' so much for so long.
Rates are only heading one way, and there ain't nuffing the RBA can do about it.
