ANZ with a +0.16% to their variable rate mortgage

016% … we are all doomed (again)

Westpac bumped their higher last week. there are 4 big banks in Oz, so two of them have raised their mortgage rate now. The other two will follow along soon enough.

These 'out of cycle' rate rises from the banks are generating chatter it'll force the RBA to cut rates. here is the chain of reasoning:

  • Higher rates
  • less disposable income
  • less consumer spending
  • economy suffers
  • (see 'we are all doomed' comment above).

Srsly, don't be too concerned. Any impact on RBA policy is a long, long way off, if at all.

As for the AUD, the thing is in a downtrend, has been for yonks. Sell rallies.