The economic gears are starting to slow, but not without a bunch of pain
We’ve all heard by now that the RBA lifted interest rates again yesterday, this time by 0.25%, and I expect they’ll do the same again in December.
We can see that the economy’s gears are starting to slow down, with property prices cooling and early signs that inflation might be calming down a bit too, which is exactly what the RBA is hoping for.
The downside though is that family budgets are feeling the pinch, with the additional impost of increasing mortgage and rental costs only exacerbating the pain already being inflicted by the skyrocketing cost of living.
The volatility on the share market yesterday prior to the RBA’s announcement was extraordinary, with the market down before the announcement, and ultimately surging more than 100 points after the announcement.
It’s not all bad news though, with the US share market rising more than 14% in October and our share market recovering 6%. So while it’s been a rough year for investors, there’s been some relief in the last month.
Have a listen to my thoughts on all the craziness in my chat on 6PR Breakfast this morning.
In other news, time is running out for the Directors of Australian entities to register for Director IDs. This requirement was introduced to ensure accountability on Directors and prevent phoenix activity.
The deadline is 30 November for Directors of all companies, registered Australian bodies (including Family Trusts and SMSFs), registered foreign companies, or Aboriginal and Torres Strait Islander corporations. Failure to register could result in civil and criminal fines. If you need a Director ID, you can start the process here.