Australian dollar sees sharp move following shock RBA cash rate decision
This comes amid the Reserve Bank of Australia deciding to keep the cash rate on hold at 3.85 per cent despite wide speculation of a rate cut.
'I was surprised, and the Aussie dollar reaction tells you that FX traders were as well,' Mr Callow told Sky News Business Reporter Edward Boyd.
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4 hours ago
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Australia's outer suburbs beat city bling in property price boom
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Courier-Mail
4 hours ago
- Courier-Mail
Australia's outer suburbs beat city bling in property price boom
Forget the harbour views and inner-city lattes, the real Aussie property boom is happening in the bush and beyond. New figures reveal a ripper surge in house prices in regional and outer-city suburbs, leaving city slickers green with envy. The latest PropTrack report shows a whopping 39 suburbs across the nation have seen their property values skyrocket by more than 10 per cent in just three months. Murray Bridge in South Australia takes the crown with an eye-watering 18 per cent jump in unit prices – the biggest increase in the entire country. Meadowbrook in Queensland's Logan-Beaudesert region and Murwillumbah in NSW's Richmond-Tweed rounded out the top three. Other top performers include Chidlow in WA, Menangle in Sydney's outer south, and Griffith in the NSW Riverina. Deagon, Ascroft and Home Hill are also enjoying the boom. Here's a closer look at how our key states are performing. NEW SOUTH WALES Home prices have been growing at three times the rate of inflation in many parts of Sydney as interest rate cuts from earlier in the year continue to usher in more property buyers into the market. The biggest rises have been observed in some of the most affordable unit markets, with the rate cuts launching a scramble for the cheapest real estate deals near major commuter hubs. Units in Ashcroft, Wahroonga, Belrose, Cartwright and Sadlier all jumped by 10 per cent or more in just three months, as affordable pockets under the city's lofty median price of $1.182m captured buyers. Read the full story here. QUEENSLAND Sixteen suburbs have joined the $1 million-plus club in the past three months as Queensland's red hot property market shows no signs of slowing down, with the state now home to 299 locales with seven-figure median home values. PropTrack's June Quarterly Home Index shows that median house values have now hit seven figures in once affordable suburbs right across Brisbane, Moreton Bay, Logan-Beaudesert, Ipswich, the Gold Coast and Sunshine Coast, and Toowoomba. Each one saw their median house value edge over $1 million in the three months to June. It comes after PropTrack revealed that Brisbane now has a $1 million median price tag (houses and units combined), finishing the month of June at $1.015 million – an increase of $74,800. And the data shows that there are 10 suburbs with median home values above $2 million, with Chandler leading the pack with$3,149,155. Tennyson is the most expensive unit market with a median value of $2,104,972. Read the full story here. TASMANIA Elections don't tend to be great news for property market growth, but they couldn't stop Hobart's green shoots from popping up. Exclusive June quarter PropTrack figures show 38 out of 56 greater Hobart suburbs recorded median house price growth, despite a federal election and the announcement of a state election. The 38 growth areas far outstripped the seven suburbs with a declining median value and the 11 that sat unchanged from the previous quarter. Eastern Shore lifestyle suburb Sandford was the top-performing area with a 4 per cent increase over the three-month period. Read the full story here. VICTORIA Melbourne's property market has been tipped to reach a record high by Christmas after a rise in home values across hundreds of suburbs. Across the June quarter, Melbourne's top suburbs for median house price growth of between 4 to 5 per cent included Glen Huntly (with a new $1,507,058 median), Wandong ($871,817), Braeside ($1,530,522), Williamstown North ($1,143,023) and Frankston North ($603,715). For purchasers seeking a smaller residence, Wallan in Melbourne's outer north performed best for units with median prices zooming up 10 per cent to $483,070. In regional Victoria, houses in the East Gippsland town of Orbost increased 8 per cent to hit $350,875 and Castlemaine units soared 9 per cent to $647,860. Read the full story here. SOUTH AUSTRALIA South Australia's property boom is showing no signs of abating, with house values in more than 250 areas and unit values in another 78 recording double-digit growth over the past year. New PropTrack figures reveal some suburbs and towns even managed to crack the 20 per cent growth threshold over the 2024-2025 financial year. Unit values in Everard Park had the highest growth at 25 per cent, taking the estimated median value to $628,794. Salisbury North units followed closely behind, with its estimated median value rising 24 per cent to $546,698, while Elizabeth South and Waikerie house values both rose 23 per cent to $543,354 and $386,100 respectively. Read the full story here.
Perth Now
7 hours ago
- Perth Now
Simple reason for Aussies' mortgage stress
Under-the-pump Australian mortgage holders may still be feeling the impacts of the cost-of-living crunch despite the Reserve Bank moving on interest rates twice this year. Households received a shock earlier this week when RBA governor Michele Bullock announced that the board was going to hold the official cash rate at 3.85 per cent, citing the need for further evidence on inflation. bRight Agent co-founder Aaron Scott called the surprise hold a 'cruel blow' for millions of Australian homeowners. 'Despite the fact that a July cut would not have been enough to give most mortgage holders a meaningful reprieve, it would have been welcome by the millions of Aussies who are holding out for more cost-of-living relief,' he said. 'Nobody will be breaking out the Wagyu beef or shiraz. But even if the RBA cut interest rates, it's highly unlikely mortgage holders would have felt any better. RBA governor Michele Bullock and the board kept the official cash rate on hold. Christian Gilles / NewsWire Credit: News Corp Australia AMP chief economist Shane Oliver explained that monetary policy had a lag for the simple reason households continued to pay their existing mortgage rates. 'The full impact of rate cuts take a while to build up,' Mr Oliver said. 'You hear these anecdotes from the banks saying their customers are maintaining their mortgage payments, so they are not using the lower interest rates to fund spending but instead use it to lower their debt.' But the economist tips household pain could soon ease as the year goes on. 'Eventually, maybe after 12 months or so, they say, 'Oh gee, my debt is lower than I thought it was, so maybe I'll spend some of it', and then the economy will get a boost,' Mr Oliver said. 'As the year goes on people will start to feel better as they see wages rise faster than their payments. They will see their mortgages come down faster than they expected because they are paying more. 'You'd think it should start to become more apparent by Christmas.' Households are likely still feeling the impact of higher interest rates as they are yet to talk to their bank about lower rates. NewsWire / John Appleyard Credit: News Corp Australia The RBA's shock choice to pause interest rates comes after the bank lowered the official cash rate by 50 basis. Starting out in February, the bank began its rate-cutting cycle by slashing interest rates by 25 basis points before moving again in May. Combined, Australia's official cash rate has fallen from 4.35 to 3.85 per cent. Despite the RBA cutting interest rates, Commonwealth Bank data shows that just one in 10 of eligible home loan customers chose to reduce their payments following the May interest rate cut. This follows a similar trend in February after the first interest rate cut. Taken together, the combined 50 basis points in rate cuts could reduce repayments on a $500,000 mortgage by $160 a month. Commonwealth Bank general manager home buying Tess Sutherland said only a small percentage of customers were freeing up their cash, while most were maintaining higher repayments to get ahead on their loans. CBA data showing who has changed their mortgage rates: Picture Supplied Credit: Supplied 'We let customers know that they have the option to reduce their repayments and we've made the process quick and easy,' she said. 'The choice is entirely in their hands, allowing customers to decide how they want to manage their money. 'We also found that those in their 30s and 40s were the most likely age group to reduce their repayments – perhaps not surprising, given many in this cohort may be juggling school-aged kids and high household costs.'
