Reserve Bank to keep interest rates on hold June 1 2010
Good news for borrowers. The Reserve Bank Board have just announced they’ll be keeping the cash rate target at 4.50%.
The Reserve Bank announcement in summary
The main reason for the rate hold was concerns about creditworthiness of some European countries – which has already had an effect on the Australian dollar through equity prices and government bond rates.
This swayed them over positives such as:
- expected growth in North America and Asia
some countries are reducing stimulus into their economies
Australia’s terms of trade rising by more than expected
interest rates to borrowers around the average for the past decade and plans have changed since last year ‘s expansionary strategy.
You can read the entire press release on the Reserve Bank website.
To find out how this might affect you, or to talk to us about getting low interest finance now the announcement’s been made you can contact us on 1300 288 874.