03 Nov RBA cuts rates to just 0.1% and ramps up quantitative easing
Key Points:
- The RBA has cut the cash rate to a record low 0.1% & announced a broad-based quantitative easing program.
- While the economic boost is likely to be small compared to that provided by the recent Budget, the further reduction in borrowing costs will support household & corporate finances and housing demand as well as keep the $A lower than would otherwise be the case.
- For investors, it means low interest rates for even longer – with a rate hike unlikely until 2024 at the earliest.
