RBA cuts interest rates to two-year low
Interest rates have fallen below 4 per cent for the first time in two years, with the Reserve Bank of Australia ignoring concerns about strong jobs growth and modest wage increases in cutting by 0.25 per cent.
Australian borrowers will now have a bit of extra money in their collective pocket. (Image source: Shutterstock.com)
The Reserve Bank of Australia (RBA) has overlooked a surprising job surge in April that may have raised inflation fears, cutting the official cash rate by 0.25 per cent.
The new 3.85 per cent cash rate marks the first time it has fallen below 4 per cent since May 2023.
That was a very different time economically. Headline inflation was then at 7 per cent and underlying inflation was above 6 per cent. Headline inflation has now fallen to 2.4 per…
