Update. Interest rates are guaranteed to stay high or go higher. In spite of the rate of inflation coming down. Why? Because, the market cannot seem to take the hint. US or Australia, it does not matter. It is the same breed of investor the world-round. They just want to borrow more and more and more. So that they can buy more and more and more. But, then because supply is not increasing like it used to... Prices will keep going up more and more and more. Australian property market is a prime example. Dwindling supply and not much coming on board.
Great to mint a few overnight property millionaires. But, in the long-term, an unhealthy asset bubble. That is why the RBA cannot lower the interest rate yet.
