What factors does the RBA use to evaluate interest rates?
There is always a debate in the market about what the next move in the cash rate would be. So what are the factors that the Reserve Bank of Australia (RBA) evaluates when determining interest rate rises or cuts? Inflation Inflation is the rising price of goods and services. When inflation occurs, the purchasing power of the consumer is diminished as the cost of living has increased. The RBA monitors inflation and will take into account inflation figures when deciding …
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