No more RBA rate cuts predicted

The Reserve Bank board has predicted easing in the fierce competition for deposits, which banks say has prevented them from fully passing on official rate cuts.

RBA Deputy Governor Philip Lowe said lowering the cash rate to 3 per cent had boosted house building and retail industries.

HSBC chief economist Paul Bloxham predicted the RBA would make no new rate cuts because officials would be wary of fuelling a housing bubble.

Source: Sydney Morning Herald