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Jessica Darnbrough
The Reserve Bank will look to keep rates on hold until the last quarter of 2011, RFi director Alan Shields has claimed.
Speaking at a conference in Sydney earlier this week, Mr Shields said the recent spate of natural disasters combined with reduced buyer confidence would ultimately force the RBA to keep the cash rate on hold until the latter part of 2011.
“The stall in the cash rate will provide home owners and borrowers with more money in their pocket and help potential home buyers step on to the property ladder.”
Previously, other economists thought the cash rate could go up as early as May or June, however, it seems this prediction is no longer the widely held view of the industry.
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