Deal went through last quarter of last year. Been hanging out for the redundancy package ever since. I've got nearly 8 years in, so I'd be quite happy to be let go.
100% chance of .5% decrease in rates in March
- Thread starter Nth Brisbanite
- Start date
Us lucky EDS (a HP Company) employees got our wage figures last week.
We've been asked to take a voluntary 2.5%-5% wage cut to help keep the company afloat.
My counter offer was to give them back every pay rise and bonus they've given me in the last 3 years.
The offer has been rejected. Why? Because they haven't given any of us either for over 3 years.
And they wonder why morale is a little down
That's quite unfortunate, but better than having no job and no IPs
Cheers
Futures market at close of business today, have implied March cash rate at 2.9 which has been steadily increasing over the past week.
The low sub 2 rates that were being forecast a month ago for the middle of this year are now at ~2.2%.
And the SFE target rate tracker is now saying only 78% chance of rates reducing to 2.75% as opposed to 100% on the 20th.
Given that the banks won't pass on this latest cut in full, we may only get a small cut this time. In anycase, we'll all know on the 3rd (next Tuesday) at 2.30pm.
The low sub 2 rates that were being forecast a month ago for the middle of this year are now at ~2.2%.
And the SFE target rate tracker is now saying only 78% chance of rates reducing to 2.75% as opposed to 100% on the 20th.
Given that the banks won't pass on this latest cut in full, we may only get a small cut this time. In anycase, we'll all know on the 3rd (next Tuesday) at 2.30pm.
I do not see another cut in March because of inflation.
I missed the inflation figures. Are you saying that it's gone up? I would think they were more concerned with rising unemployment.
At this stage it seems there will be a cut. As to who will benefit, the banks this time will grab back more margin again.
I believe in the long run they will need it though, because with all the stimulus packages around the world and declining government revenue, the private lending will be a little crowded out of getting good deals on rates
But on the bright side, the RBA should be factoring this in and reducing rates accordingly later in the year... that is, one would hope... I'm a little embarrassed at the way our great country kept raising rates so long into the beginning of the crunch
I believe in the long run they will need it though, because with all the stimulus packages around the world and declining government revenue, the private lending will be a little crowded out of getting good deals on rates
But on the bright side, the RBA should be factoring this in and reducing rates accordingly later in the year... that is, one would hope... I'm a little embarrassed at the way our great country kept raising rates so long into the beginning of the crunch
So true, me neither.
I can also get a LO DOC for a full 1% lower than my Full DOc is currently on.
Regards JO
yes and it sure as heck beats deflation. a blow out in oil prices will give it a good kick eventually
It's not only what is happening in the US which is alarming economists, politicians etc. Australia is contracting at a faster rate than what was originally thought. There has been some talk that the RBA may reduce by even more than 0.5%.
Exactly. There is zero risk in cutting rates too much in this environment. There is, however, a substantial risk in not cutting enough. Even delaying cuts will make things worse in the long-term.
whilst talking about the USD and AUD today a very wise friend told me this , and I'll quote ....
"Bottomline is we have an asset deflationary depression combo with monetary inflation about to go hyper .............severest stagflation
OZ economy will track about one year behind the US so we will only BEGIN to feel it this year with next year being the big one for us ............PROPERTY pricing collapse on back of soaring unemployment.
You really dont want ANY exposure to financials / property stox next 2 years"
he is pretty good at working out what is goign on and this time I might just agree.
"Bottomline is we have an asset deflationary depression combo with monetary inflation about to go hyper .............severest stagflation
OZ economy will track about one year behind the US so we will only BEGIN to feel it this year with next year being the big one for us ............PROPERTY pricing collapse on back of soaring unemployment.
You really dont want ANY exposure to financials / property stox next 2 years"
he is pretty good at working out what is goign on and this time I might just agree.
yeh futures expects bad, however i think the market expects a 50bp cut, hwever they its sitting at a 50/50 chance as at 4:10pm today...
i think we should see either a 50 or nothing from rba.
if nothing will see a 75-100 next month, but i dont think rba want blood on their hands with that outlook.
i think we should see either a 50 or nothing from rba.
if nothing will see a 75-100 next month, but i dont think rba want blood on their hands with that outlook.
The RBA will cut by 0.5 -- tonight's trading in Europe and the US will underline it for the board, if the figures from the past few days haven't already underlined it for them.
Expect more cuts in April and beyond too. Glenn Stevens has a knack for getting things wrong. As soon as I heard him utter the "rates won't go to zero" remark and I knew he would live to regret it -- and the rest of us will live to enjoy him being wrong again.
Expect more cuts in April and beyond too. Glenn Stevens has a knack for getting things wrong. As soon as I heard him utter the "rates won't go to zero" remark and I knew he would live to regret it -- and the rest of us will live to enjoy him being wrong again.
interesting unfolding of events.
i will be watching the open in half an hour - VIX and SP500/Russell futures will be the ones to watch.
i have a funky feeling the rba may be in denial this month.
i will be watching the open in half an hour - VIX and SP500/Russell futures will be the ones to watch.
i have a funky feeling the rba may be in denial this month.
