The RBA hikes rates by another 0.25% - are we there yet?

Dr Shane Oliver, Head of Investment Strategy & Chief Economist insights

The RBA hiked again by 0.25% taking the cash rate to 3.35%. It continues to expect to increase interest rates further.

We remain of the view the cash rate is near the top as: rate hikes impact with a lag; inflationary pressures are easing

globally & showing signs of easing here too; the sharp rise in household interest payments will weigh on spending; and

there is increasing evidence rate hikes are getting traction.