Home owners have been given a reprieve from further mortgage pain with a second hold on the cash rate, but the Reserve Bank of Australia has not ruled out futures raises if inflation remains high.
The RBA's decision to keep the cash rate at 4.35 per cent at its August meeting was widely predicted by financial experts, including those at all four of the major banks, after last month's inflation figures came in lower than expected.
The consumer price index (CPI) was 3.8 per cent in June, above the RBA's target of between 2 and 3 per cent, but significantly lower than had been predicted.
