RBA confirms it considered lifting rates in AugustCecile Lefort
The Reserve Bank considered raising the cash rate at its August 6 policy meeting when it opted to keep policy on hold at 4.35 per cent for the sixth straight meeting, minutes of the meeting confirmed.
“Raising the cash rate target at this meeting could be appropriate if members judged that the risk that inflation would not return to target in a reasonable timeframe had materially increased, either because of economic developments or because financial conditions were insufficiently tight,” the central bank wrote.
The RBA reiterated it was not ruling anything in or out on rates.
....so with RBA chickened out of raising rates in Aug, and probably could not raise it anymore, now with the Fed probably cutting next month, our big banks are back to shoving us again with a pre-emptive TD rate cut.
...back then, this would be called out by the Treasurer. We have allowed banks to set their rates independently of RBA move. It shows why our big banks don't deserve our support, because they know we won't leave them and hence could take advantage of us.
Big banks pre-empt RBA move by cutting rates on term depositsLucas BairdReporter
Aug 20, 2024 – 5.00am
The country’s largest banks are quietly making significant cuts in the interest rates they pay on term deposits, ahead of the Reserve Bank, stepping back from an intense competition for funds that has weighed on their profit margins but benefited savers.
Commonwealth Bank cut the rate on almost all its term deposits by up to 50 basis points last week. National Australia Bank and ANZ followed on Monday, the latter making deeper reductions of up to 80 basis points.
