Globally we are continuing to see rates on hold however there remain concerns around inflation remaining sticky. In the US, the Federal Reserve left interest rates on hold this month after inflation increased slightly but did warn that it would keep increasing if need be. Nevertheless, markets are expecting cuts to start towards the end of next year.
Surprisingly, UK inflation is coming down, despite stubbornly rising power prices. The Bank of England maintained rates, ending a run of 14 consecutive rate rises even though inflation remains a lot higher than other countries.
There are some exceptions where rate rises will continue at a rapid rate. Turkey’s inflation rate is now at 59 per cent with interest rates at 25 per cent after a failed attempt to solve inflation problems by cutting rates last year when inflation was rising rapidly. Argentina’s inflation is at 124 per cent and interest rates are at 118 per cent after the government resorted to printing money to try to provide economic support.
More than 13,000 cruise passengers passed through Shute Harbour Marine Terminal across three consecutive days, delivering a significant boost to local businesses and tourism operators across the Whitsundays. The large-scale cruise operations supported activity across transport, tours, retail and hospitality, generating strong flow-on benefits for both small and large businesses … Read more
The Reserve Bank has raised the cash rate by 0.25 percentage points today, responding to inflation that remains above target and an economy that continues to run too strongly for the Bank to be confident price pressures will keep easing on their own. Inflation surged late last year and, while … Read more