RBA rates set to fall by late 2017

Our friends at Capital Economics recently published the following article looking at RBA rates for 2017 with the prediction that the offical RBA rate will reduce from 1.5% to 1.0% by the end of the year. Although that’s great news for borrowers, it looks as though cash and investment rates will continue to remain low or potentially fall even further. Saying that, investors will need to continue to seek higher yields as the low interest rate environment is likely to continue for foreseeable future.