More pain expected for mortgage holders as RBA gears up for cash rate decision

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More pain expected for mortgage holders as RBA gears up for cash rate decision
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The Reserve Bank is gearing up for its final cash rate decision for 2022, with at least one more hike broadly expected. 7NEWS

Another 25 basis point increase will take the rate to 3.1 per cent and cause more pain for mortgage holders with variable loans.

HSBC chief economist Paul Bloxham said the last month revealed a job market that was still too tight and inflation that was still too high, despite the national statistics bureau’s monthly inflation gauge easing slightly. “Our expectation is that local growth will slow further over coming months, pressure in the jobs market will start to ease, the global growth backdrop will worsen, and global disinflation will become clearer,” Bloxham saidGrowth figures will also dominate the economic calendar, with the Australian Bureau of Statistics due to issue the national accounts.

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