It looks curious, if not downright suspicious. Why are trading banks putting up fixed term home mortgage rates when the Reserve Bank is expected to announce further cuts in its benchmark official cash rate as early as next month?
Monday, August 11th 2003, 6:42PM
by The Landlord
The banks have raised most of their fixed term rates by up to half a per cent during the past five weeks. Surprisingly, this has coincided with the move by Reserve Bank governor Alan Bollard to cut the official cash rate by a further quarter of a per cent to stimulate a slowing economy.
