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Thats right justis, and one of them is people borrowing too much...

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Steve70

2,796 Posts.

31/08/14

11:26

Post #: 13900831
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Originally posted by Justis ↑

Well I just didn't know what you meant by Fed, thought it may be Federal goverment but any way.

RBA with manage monetary policy according to how the Australian economy is performing. The value of the $Au is just one of many factors the RBA consider when the meet each month, you would do well to read up on what the objectives of the RBA is, FYI http://www.rba.gov.au/monetary-policy/about.html

The $Au may fall if the Federal reserve lift their interest rates but the RBA still needs to consider a lot of other things

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The $Au may fall if the Federal reserve lift their interest rates but the RBA still needs to consider a lot of other things

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Thats right justis, and one of them is people borrowing too much money is a strong reason to up the cash rate like we saw in 2007 when home loans were 9% when people were borrowing less than today
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