Households In The Cross-Hairs As Real Wealth Falls...

The latest from the RBA – Statement On Monetary Policy November 2023, outlines the bank’s latest thinking. The Reserve Bank updated its economic forecasts, which explain why it raised interest rates this month – from 4.1 per cent to 4.35 per cent after four consecutive pauses. And importantly, it shows just how the economic engine is misfiring, with households very much on the front line. While the business sector, overall, appears to be doing fine, it appears working-age households will continue to do the heavy lifting on containing inflation via higher interest payments, cutting their individual consumption and falls in […]