Each of Australia’s big four banks is now predicting a rate rise in six days’ time on Melbourne Cup Tuesday. It would add another A$77 to the monthly cost of servicing a $500,000 mortgage and be enough to take the total extra monthly impost since rates began climbing to more than $1,000.
Why on earth would they be expecting the Reserve Bank to lift rates at a time when Australians are buying less than they were a year ago and the most trusted measure of annual inflation, the comprehensive quarterly one, is heading down?
