Tony Alexander

Economic Commentaries

Monetary Policy Unchanged

Friday July 29th 2011

The Reserve Bank met market expectations this week by leaving the cash rate unchanged at its record low of 2.5%. But they warned of rate rises ahead and we think risk averse borrowers might want to consider placing up to 50% of their debt at a fixed rate probably for three years. But huge uncertainty continues to swirl around the world economy and whatever one forecasts today is sure to change in coming months.

WO July 28