Posted on Wednesday, December 22nd, 2010 in by Matt Garmony
The Financial Review reported the RBA is content with its current interest rate policy and moderate inflation as it takes a break over the Christmas period, however is moderately concerned about the European Soverign Debt crisis. If inflation grows in early 2011, we believe there may be further interest rate rises in early to mid 2011, which may continue the subdued property market conditions. The only positive factor is economist are predicting low unemployment and housing shortages which may have a positive influence on the property market.