The current cash rate is at a historic low, after it was implemented in July after the second consecutive rate cut.
The RBA’s move to maintain the rate was widely anticipated by rate experts, as found in a Finder survey.
However, the majority (61 per cent) of experts have tipped a further cut for November, with Finder finding three quarters or 76 per cent of specialists and economists expect the rate to drop before Christmas.
Around 59 per cent of experts expect the rate to drop to 66 cents or lower.
Graham Cooke, insights manager at Finder, said he had never seen such a strong bias towards a move in a particularly month, as predictions are usually spread out over a couple of months.
Since 1990, the cash rate has dropped 10 times in November.
Results from Finder’s Economic Sentiment Tracker, which gauges five indicators – housing affordability, employment, wage growth, cost of living and household debt – all tipped more negative this month.
September’s results have seen the tracker at a record low for economic sentiment in household debt (10 per cent).
Housing affordability was the only metric Finder found respondents had a semi-positive outlook in its sentiment tracker.
Stupid RBA. You need to send rates back up over 4% so mortgage rates are around 7%.
The property market will correct and everyone wins.
Absolute idiocy. Can’t the RBA see how this is decimating pensioners and their savings. What sort of lesson is it teaching kids re their bank savings – where is the incentive to teach kids about interest in their bank accounts like our parents incentivized us to save when we were kids. With markets about to crash due to unsustainable highs where is the sanctuary of cash at effectively negative rates. These central bankers need a real job in the real world. They are so far removed it is pathetic. Rates this low for so long is beyond irresponsible, especially here in Australia. Wake up bankers.