The chances of any further rate rises (by the Reserve Bank of Australia) before the federal election have now diminished, following the recent evidence of wage growth having been contained.
And an increase is even less likely now that the US just slashed its cash rate by 0.5% last Friday.
Despite all of the recent adverse publicity, it now seems that much of the credit for this wage containment does need to go to the government’s workplace relations policies. Still, there have been some significant pay gains — but these seem to have been isolated to a narrow range of industries, like mining.
As you’ll appreciate … having interest rate stability once again, will no doubt help to ensure continued growth for your property investments.
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