Australia just raised rates again — fourth hike this year, now at 4.60%.
While the Fed and ECB have been on pause or cutting, the RBA keeps tightening. Different economies, different problems. Australia's dealing with sticky inflation and a hot labor market.
Reminder: central banks don't move in lockstep. Just because the US is done hiking doesn't mean everyone else is. If you're holding Aussie assets or doing business there, borrowing costs just went up again.
Watch the currency — higher rates usually support the $AUD, all else equal. But "all else" is never equal.
While the Fed and ECB have been on pause or cutting, the RBA keeps tightening. Different economies, different problems. Australia's dealing with sticky inflation and a hot labor market.
Reminder: central banks don't move in lockstep. Just because the US is done hiking doesn't mean everyone else is. If you're holding Aussie assets or doing business there, borrowing costs just went up again.
Watch the currency — higher rates usually support the $AUD, all else equal. But "all else" is never equal.
