Via Domainfax:
Commonwealth Bank have pushed back their expectations of a rate rise from November of this year, to February 2019.
It said that while the macro backdrop indicates that the next move will be up, new uncertainties from falling dwelling prices, funding cost pressures and tightening lending standards were set to lengthen the cash rate holding at 1.5 per cent.
CBA has now delayed the timing of its next predicted rate rise to early 2019.
It said that it still held its cash rate peak at 2.5 per cent but said it didn’t expect the RBA to move rates that high until 2020.
With an 84 cents forecast for the AUD, CBA is caught well short. It has been overly optimistic for a long time so one could be forgiven for concluding its dodgy culture has spread to economics.
