Crypto markets remained stable Tuesday as Japan's central bank raised interest rates to a 30-year high of 1% to combat inflation. Despite concerns about the yen carry trade, Bitcoin held above $65,000, with traders appearing to have braced for a selloff.
The Reserve Bank of Australia (RBA) has kept its official interest rate at 4.35% but warned of further hikes if inflation persists. Governor Michele Bullock indicated a rate rise is possible due to ongoing price pressures, despite a slight increase in unemployment. The decision offers little immediate relief to mortgage holders.
Australia's housing market is experiencing a significant slowdown in investor activity following recent interest rate hikes and Labor's tax reforms, including the abolishment of negative gearing, leading to decreased buyer confidence and a sharp drop in auction clearance rates.
Australian property market activity has significantly slowed due to interest rate hikes, Labor's tax reforms, and global economic uncertainty. Investor and first home-buyer applications have dropped, leading to a 'buyer's strike' and a 'recalibration period' for the market.
Australia's housing market experiences a significant slowdown in investor activity following recent interest rate hikes and Labor's tax reforms, including the abolishment of negative gearing, leading to decreased buyer confidence and a sharp decline in sales.
The European Central Bank's Governing Council decided on an interest rate hike of 0.25% during its monetary policy meeting on the 11th. This marks the first rate increase in 2 years and 9 months, since September 2023.
The ECB is expected to raise rates by 25 basis points due to rising inflation. US inflation also surged, while tensions in the Middle East escalated. Frasers Group launched a €2 billion bid for Hugo Boss, and the 2026 World Cup is predicted to be the largest betting event ever.
India's central bank may raise interest rates on Friday, defying economist expectations of a hold, to combat a depreciating rupee and rising inflation driven by energy costs and potential El Niño impacts on crops.
Australia's economy slowed significantly in early 2026, with real GDP growth falling to 0.3% in the March quarter. Living standards declined as household incomes struggled to keep pace with inflation, despite a boom in datacentre investment.
India's Reserve Bank of India (RBI) may hike interest rates at its upcoming meeting, defying economist expectations for a hold. Factors driving this potential move include the rupee's depreciation to record lows, rising inflation pressures from energy costs and weather, and regional peers' proactive rate hikes.
India's central bank may raise interest rates at its upcoming meeting to counter rupee depreciation and inflation risks from energy costs and potential El Niño impacts, defying economist expectations of a hold.
Eurozone inflation rose to 3.2% year-on-year in May, the fourth consecutive increase, driven by energy and services. Bundesbank President Joachim Nagel's earlier 'inflation tamed' statement is now challenged, with calls for the ECB to raise interest rates despite economic fragility to maintain market confidence.
The Bank of Japan will decide whether to raise interest rates at its June 15-16 monetary policy meeting. The current policy rate is extremely low compared to Europe and the US, potentially accelerating inflation. Experts believe the BOJ has no room to wait and see.
Bond traders are pricing in a Fed rate hike by year-end 2026, impacting Bitcoin's investment case. Higher Treasury yields increase opportunity costs for non-yielding assets like BTC, while geopolitical uncertainty and sticky inflation fuel hawkish Fed sentiment.
Global interest rate hikes are increasing the burden on South Korea's vulnerable households and marginal firms, with household debt nearing 2,000 trillion won. Rising rates threaten to curb household consumption, potentially leading to domestic demand slowdown.
South Australia's housing market is cooling due to rising interest rates and federal budget tax changes, leading to fewer open inspection attendees and a potential slowdown in price growth to inflation levels.
The Reserve Bank of India (RBI) sold an estimated $2-5 billion on Thursday and continued dollar sales on Friday to defend the rupee against sustained pressure from elevated oil prices and FPI outflows. The intervention helped the rupee strengthen past the 96-per-dollar mark.
India's rupee has fallen nearly 6% against the US dollar since late February due to Middle East tensions. The Reserve Bank of India is considering measures like a potential interest rate hike, a foreign currency deposit scheme for NRIs, and a sovereign dollar bond to stabilize the currency and attract inflows.
Markets are now pricing in a potential Federal Reserve interest rate hike for the first time this cycle, following high inflation data. CME Group's FedWatch tool indicates a 51% probability of a hike by December and over 71% by March 2027.
Rupee hits record low of 95.7450 per USD due to rising oil prices, debt repayments, and importer demand, exacerbated by the US-Iran conflict; RBI interventions mitigate steeper losses.
The Indian rupee hit a record low of 95.7450 against the US dollar due to rising oil prices, overseas debt repayments, and importer demand, despite RBI interventions. Economists link the pressure to the US-Iran conflict, which has increased oil prices by nearly 50% since February 28, causing the rupee to weaken by over 5% in the same period.
Prospective home buyers are re-evaluating their budgets as successive rate hikes eat into their borrowing capacity.
Reserve Bank of Australia raises rates for third consecutive meeting, lifting them to early-2025 levelsFollow our Australia news live blog for latest updatesGet our breaking news email, free app or daily news podcastUse our loan calculator to see how rate hikes could affect you The Reserve Bank has delivered a third straight interest rate hike to contain growing inflationary pressures linked to higher fuel prices, even as it warned the Iranian war would deliver a major blow to the economy.The widely expected decision to lift the cash rate to 4.35% from 4.1% comes as the central bank revealed a gloomy new set of forecasts that showed intensifying cost-of-living pressures alongside weaker growth. Continue reading...
The RBA is widely forecast to deliver its third rate hike of 2026 this afternoon. The local share market is lower amid escalating tension in the Middle East. Follow the day's events and insights from our business reporters on the ABC News live markets blog.
