Imagine if we were talking about downing a few tinnies while revelling in your team’s grand final win. Because the above name is not only synonymous with shameless AFL promotion, it’s also a nod to South Melbourne’s Roy Cazaly and his famous giant leap formation to take the “mark”. His early 20th-century teammates would shout these words of encouragement each time he flew for the ball.

Unfortunately, words of encouragement are far from where we’re going with this.  When we say “up there”, … we’re referring to the ever-soaring interest rate hikes that are nothing close to scoring a win. It’s safe to say that Australia is facing some major discouragement when it comes to trying to stay financially afloat.

The Reserve Bank has already lifted rates seven times this year, and it’s not looking like letting up any time soon. They’re potentially in the running to double what they’ve already put into play.

 

Of course, in their mind, they are playing to win – and take home the trophy.

 

RBA’s plan to push through further interest rate increases has method to its madness.  It believes the hikes are necessary to fight the “scourge of inflation”. But in the interim, households are already struggling big time with high petrol prices and ballooning grocery bills. Further rate rises are certainly only going to add insult to injury.

The RBA is adamant, however, that it’s a long-game strategy. The bank’s governor, Philip Lowe, reiterates that the consequence of not raising rates would mean –

 

“The evil of inflation would be with us for longer, and the eventual increase in interest rates needed to bring it down would be greater.”

 

The RBA expects inflation to peak at 8 per cent by the end of the year – higher than the Federal Budget forecast of 7.75 per cent. That’s definitely sobering news for the average Aussie battler. But it seems our “coaches” know what they’re doing.  And the final score should reflect the hard work, dedication, and sacrifice currently faced nationwide.

Meanwhile, if you want to make your mark on the property market sooner, call us to find out how we can help.