Oliver’s Insights – Interest rates still falling, more to go
09
May
2013
From Shane Oliver - AMP chief economist
This edition of Oliver’s Insights looks at the RBA’s latest cut to interest rates.
The key points are as follows:
- The RBA has cut interest rates again and they are likely headed even lower, probably to 2.5% in the next few months. The mining investment slowdown is now looming as the response by the non-mining economy to lower interest rates to date has remained subdued.
- Global interest rates also look like remaining low for an extended period.
- Low & falling interest rates mean low & falling bank deposit rates. The chase for yield will continue.
To read this edition, click here.
