Tuesday, 6 December 2011

Reserve Bank Cuts Interest Rates

The Reserve Bank of Australia has delivered an early Christmas gift to borrowers by cutting its key interest rate for the second month in a row.

The central bank cut its cash rate 25 basis points to 4.25 per cent, marking the first back-to-back monthly cuts since April 2009.

If passed along in full by the banks, today’s cut will save the average mortgage holder - with a $300,000, 25-year mortgage - about $47 a month. Retailers had been calling for a rate reduction to help bolster tepid sales heading in the final few weeks of 2011.


Read more: http://www.smh.com.au/business/rbas-christmas-rate-cut-20111206-1ogih.html#ixzz1fjPvNh1n

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