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The Reserve Bank has raised interest rates for the fourth month in a row, raising its target rate by half a percentage point. Key points: RBA has raised interest rates by 0.5 percentage point The target cash rate has now increased by 1.75 percentage points since early May to 1.85 percent A cash rate increase since early May will add about $472 per month to a $500,000 loan payment The RBA has now raised its benchmark interest rate by 1.75 percentage points since the first rate hike in May, with the target rate at 1.85 percent. In his post-meeting statement, Reserve Bank Governor Philip Lowe said the latest rate hike is unlikely to be the last this year. “The board expects to take further steps in the process of normalizing monetary conditions over the next few months, but not on a predetermined path,” he said. “The size and timing of future rate hikes will be guided by incoming data and the board’s assessment of the inflation and labor market outlook. “The B...

If you’re the person in your household who usually goes grocery shopping or fills the car, you don’t need a statistician to tell you that prices are going up. Nonetheless, the latest official reading of rising consumer prices is out on Wednesday from the Australian Bureau of Statistics. This is called the Consumer Price Index, or CPI. “The way to measure inflation in Australia is to look at the different categories that consumers use to spend their money,” explains AMP senior economist Diana Mousina. The numerator at ABS goes around all the capital cities and checks the latest prices for this “basket of goods,” with about 100,000 different individual prices collected every three months. The statisticians then calculated how much had changed since the last survey three months earlier. Each year, the ABS also checks what Australians typically spend the majority of their money on, and ‘weights’ the CPI accordingly, thus reflecting where the a...

Mooners and Shakers is sponsored by Dacxi, the world’s first purpose-built Crypto Wealth platform. Bitcoin lost a nice, round, $20K psychological mark earlier, but has managed to find some decent support above $19.6k, at the time of writing. Meanwhile, the CPI inflation data on Wednesday July 13 in the US, and all the technical analysis in the world today may not be able to keep up with the results. Is it as simple as: lower-than-expected inflation, rising crypto/risk assets; high inflation, crypto assets/risk down? Perhaps, despite the old high inflation “entry price” argument is also floating again. Perhaps the real kicker will come when the US Federal Reserve announces its response to the July 26-27 CPI inflation data with the possibility of another 0.75bp rate hike. Right, got it – inflation… macro sucks right now… is there anything else scaring the market, other than crypto also doing its best to burn internally through the “contagion” effect of Terra LUNA, Cels...