Why the UK economy is one of the most vulnerable right now

George Clerk | E+ | Getty Images There’s an economic idiosyncrasy in the UK that makes it “one of the most vulnerable countries in the world right now,” according to an investment strategist. Mike Harris, the founder of Cribstone Strategic Macro, argues that a major problem for Britain is that its mortgage market is “heavily … Read more

Reserve Bank economic forecasts show wages will lag price rises for at least another year

They say a week is a long time in politics, and it turns out a month is an eternity when it comes to economic forecasting. Key points: The Reserve Bank has released its latest economic forecast, which differs substantially from figures in the recent federal budget According to the RBA, the key shift is around … Read more

Interest rate rises: How to reduce mortgage repayments

Mortgage repayments are set to increase dramatically in the next year but this is how you can reduce the financial pain. With interest rates now on the rise, many Australians may be worried about the cost of their mortgage repayments but there are some options to keep them as low as possible. The Reserve Bank … Read more

Wiping $1.5 trillion off house prices will force RBA to pause after 100-150 basis points of rate hikes – Christopher Joye

The RBA has a long history of getting the Aussie housing market’s reactions to its cash rate changes horribly wrong, which is surprising given how easy the housing cycle is to forecast. Crucially for investors, this interest rate cycle will be heavily influenced by the direction of Aussie house prices, which have never been more … Read more

Top 10 suburbs set to face highest mortgage stress after rate hike

Today’s cash rate hike is set to hit areas in Australia’s biggest cities and a number of regional hot spots across NSW. Homeowners in NSW and Victoria are set to be hit hardest by the RBA’s historic cash rate hike, with affluent suburbs expected to take a pummeling as interest rates surge. Finder compared average … Read more

Why US equities could fall at least another 20-35% (and the NASDAQ could be much worse)… – Christopher Joye

US equities have fallen 14%-23% (S&P500 and NASDAQ) since we publicly revealed our bearish outlook on the market and many other correlated asset-classes, including credit, crypto and fixed-rate bonds (or duration). We expect the specter of a US recession in 2023/24 to continue to apply downward pressure on equity valuations, and are looking for an … Read more

The RBA will raise interest rates — but not to the alarming levels the experts are predicting

A week ago, hardly anyone was talking about a pre-election interest rate hike. Now, there’s a tsunami of professional opinion pointing to a lift in the official target cash rate on Tuesday, following last week’s dramatic rise in inflation. Prices now are growing at their fastest in 20 years. For a government campaigning for re-election … Read more

Why interest rate rises and inflation strategy could lead to economic burnout

Inflation and interest rises are causing huge pressures for everyday Aussies – and there’s a worrying sign we’re heading for “economic burnout”. On Wednesday, the release of the latest inflation figures from the Australian Bureau of Statistics revealed that Australian inflation was well and truly outside of the Reserve Bank’s target band of 2-3 per … Read more

CBA, ANZ, NAB, Westpac: When interest rates will rise and by how much

The four major banks have revealed alarming predictions for interest rate rises, with expectations borrowers are in for multiple hits this year. The major banks have confirmed homeowners’ worst fears – changing their forecasts to flag higher interest rates hitting much sooner, after the shocking increase in the cost of living was unveiled earlier this … Read more

Inflation, interest rates and discount rates in Australia explained

It’s all connected. Interest rates, inflation and discount rates move together. And that affects a lot of things, including the stock market. If you thought prices were rising, you were absolutely right. Australian consumer price inflation came out and it was a whopper. The highest headline inflation number we’ve seen since 2000-01. And back then … Read more