I'm not surprised they held off this month, and I wouldn't be surprised if they do the same for the remainder of the year. It's a possibility that they are wanting to spook the economy into thinking it's going to be hit with higher rates - that in itself could be just as effective as raising the rates, providing the underlying inflation is not well above the acceptable inflation ceiling.
Our economy could very well 'self correct' without the RBA ever having to press 'the' button and maybe that's a better option for all, not just home owners. But like some in this country, the RBA thinks it has super human powers and can control what the economy does with no problems at all. I just don't believe they have been honest with Australians by turning a blind eye to the young and naive borrowers that bought up toxic properties which are now ticking time bombs. Had diligent regulations been enforced, we wouldn't have had a 2 speed economy right now; we would have had much lower personal debt levels and a thriving consumer sentiment ready to go to the next level with new businesses lining up to cater for the needs out there.
Too little, too late. Overnight cash rates they can control, but not fuel or food prices or anything else that comes from overseas - including bank funding costs.
