Markets

ANZ: Two rate hikes are coming in early 2018

ANZ’s new forecasting tool is currently predicting that the Reserve Bank will get hawkish sooner rather than later. How hawkish? The bank’s Bias Index — introduced last month — is currently forecasting two rate increases in the first half of 2018. The Bias Index formulates a predictive model for the […]
ANZ: Two rate hikes are coming in early 2018
Markets

Here’s how much the tax on banks will crush their margins

The biggest losers in the federal budget, Australia’s five largest banks, will likely see a profit erosion of 2.5% to 6% and a drop in return on equity from a levy on them aimed at raising $6.2 billion over four years and may elect to raise to mortgage rates to […]
Here’s how much the tax on banks will crush their margins
Markets

Sydney house prices surged 75% in less than 5 years

If you bought a home in Sydney before June 2012, it’s now worth 75% more. If the purchase was before 2009, it is has more than doubled in value. That pretty much sums up the gravity defying run of Sydney home prices with annual growth rate now at 18.4%, the […]
Sydney house prices surged 75% in less than 5 years
Markets

GOLDMAN: Brace for an RBA rate hike in February 2018 — or earlier

Goldman Sachs expects the Reserve Bank of Australia to start raising interest rates in February 2018 with the chance of an earlier move entirely possible. Surging commodity prices are “transformational” for Australia’s broader economic outlook, the bank’s economists led by Tim Toohey said. The price rally puts the economy on […]
GOLDMAN: Brace for an RBA rate hike in February 2018 — or earlier