Announcing a 0.25% rise on Melbourne Cup day, the RBA lifted the cash rate to 4.35% – the highest rate since the November 2011 cash rate decision.

69% of the economists surveyed by Finder predicted this decision. It comes after the inflation rate for September fell to 5.4%. Although inflation is still trending downwards, that figure is higher than the rate that was forecast.

This is the 13th rate rise since May 2022, and yet another blow to homeowners. According to Finder’s Consumer Sentiment Tracker, 74% of Australians are already stressed about their financial situation. Another rate rise for borrowers several weeks before Christmas is sure to make situations harder.

WLTH Co-Founder, Brodie Haupt correctly predicted the rise and said, “Inflation continues to persist. There was a stronger than expected CPI result for the September quarter, oil prices have remained high, as well as petrol prices. To top this off we have a depreciating Australian dollar.”

Full Article: Finder