Stop Press: 250% Increase In RBA Cash Rate! Worse Yet To Come In 2022! 3rd May 2022: Stop Press: 250% Increase In RBA Cash Rate! Worse Yet To Come In 2022! Spells Household Mortgage Pain For 26m Aussies-17.7m Voters As Major Banks Will Pass On Rate Spike!
Today, RBA Governor announced an increase in official cash rate from 0.1% to 0.35%, or 25 basis points-250% increase.
Expect major home mortgage lenders-CBA, NAB, ANZ, WBC-will instantly pass on full rate hike to 26m Aussies-17.7m Voters already suffering worst inflation of 5.1% (Perth 7.6%) since GFC # 1 in 2008 when ASX crashed by 35%!
$337 Billion of Quantitative Easing (QE) still sloshing around the OZ economy-ASX, all of which requires unwinding, for which RBA has yet to do! More Aussie Pain.
Predictions: 1. RBA will continue to hike interest rates in 2022 & 2023. 2. CPI Inflation will get much worse in 2022 & beyond. 3. Bursting Inflation Bubble & Interest Rate Bubble will inflict much more pain in 2022: expect CPI to hit 9% (Perth 12%) by end Dec 22; Home Mortgage Rates to strike 6% to 7% by year end.
Increasing consumer-household standard of living pain, serious questions need to be answered by PM Morrison why his Liberal-National Gov't continues to pursue Anti-China Policies & Actions? Solution? https://lnkd.in/eP2MaG_J
