RBA Rates

How do you think PMs or the AUD would react to this?

I do know one thing:

1) If the RBA cuts and implies that they will watch and see -> I don't think there would be much movement

2) If the RBA cuts and says they will go further -> should rattle the AUD and PMs

3) If the RBA doesn't cut -> Strong AUD and weak PMs

On top of that, this is a 1% -> 0.75% cut, breaking a psychological barrier

Would you say my assessment is reasonable?
 
Any cut will push up PM's, likewise holding off will lead to a correction in PMs
 
PM will not react at all to RBA rate cut.
In context to world economy, Australian economy is less than drop in ocean.

Microsoft market cap is not much smaller than Australia.

But Australian Pesos will sink
 
Ipv6Ready said:
PM will not react at all to RBA rate cut.
In context to world economy, Australian economy is less than drop in ocean.

Microsoft market cap is not much smaller than Australia.

But Australian Pesos will sink
Click to expand...

Sorry I meant PM in relations to AUD.
 
A cut is basically guaranteed, especially since housing prices in Melbourne & Sydney have grown around 1.8%
 
willrocks said:
Except wages haven't risen, and probably won't. Even though lower interest rates mean people can borrow more, they still need to come up with an bigger deposit. This will keep a lid on prices.
Click to expand...
Negative gearing bro... Banks will love you for this... They'll lend 95%, with loan guarantee/insurance of course, and you're set... Let your portfolio rise...
 
ScoMo will say "bring in the royal commission".....yeah right... who pays for his leadership challenge win from Turnbull?
 
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