The Reserve Bank says…

Posted on March 5, 2009


…there will be no further interest rate cuts this month. All this, after teasing the Australian audience who have enjoyed an increment of extra money in the pocket over the last four months.

What a cop out.

I can picture millions of Aussie families across the country, rubbing their hands with glee at another 50 points (or better yet, 100 points!) cut from the Reserve Bank. They were perhaps thinking what this extra few hundred dollars would do for their weekly grocery bill, or monthly eat-outs, or the latest fancy gizmo. What ever tickles their fancy really.

I and Michele? We remember bearing the brunt of a mammoth mortgage on a single income, living on baked beans and bread everyday and were relieved to find we had an extra few dollars lying around after the first interest rate cut. Fast forward to March, we have so much loose change we wonder how we managed to cope all throughout last year!

But seriously, what’s the point of the Reserve Bank making speculative news on a prospective rate cut, only to buck the trend for the first time since November?

They might as well say,

“Hey guys, you’re breathing air. It’s free but we’re thinking of polluting it further. Brace yourselves”

“Public transport in Melbourne is terrible. We’re constantly trying to improve the standards but until we get there, please show Connex your support. Or find an alternative form of transport. Such as a car.”

Or something incredibly lame like that.

We already know that!