Monday 3 October 2022 05:24 AM Urgent warning to all Westpac and Commonwealth Bank mortgage-holders trends now
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One last oversized rate rise is broadly expected before the central bank is tipped to start winding its policy tightening back.
Since May, the Reserve Bank of Australia has hiked interest rates aggressively from record low levels to 2.35 per cent in a bid to tame inflation.
The rate rises have sent mortgage repayments soaring, with RateCity analysis showing a 0.50 percentage point hike would add $760 to the average borrower's repayments compared to May.
Economists have tweaked their forecasts upwards ahead of the Reserve Bank of Australia's (pictured) October cash rate decision
The RBA said it would choose between a 25 or 50 basis point hike when it meets next week, with the central bank flagging the gloomy global outlook and consumer spending habits as two main sources of uncertainty that would guide its decision
With core inflation at 4.9 per cent - still well above the RBA's target range of two to three per cent - the RBA shadow board is strongly in favour of another rate hike.
The Australian National University's shadow board recommended a 50 basis point lift rather than a smaller 25 basis point hike.
The RBA shadow board said the domestic outlook remained
