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More speculation is swirling that record-low interest rates are not likely to last. Photo: Shutterstock

House prices, profits and politics collide in interest rate battlefield

With a Federal election looming and the first signs of pressure on interest rates appearing, the government may soon be locking horns with banks and the Reserve Bank of Australia to keep lending rates at current historic lows.

A blowout in inflation forecasts is a major threat to the Federal Govern…

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