RBA interest rates: Reserve Bank hikes cash rate for fifth time this year in blow to mortgage holders

AI desk brief

The RBA lifted the cash rate for a fifth time this year, taking it from 4.6% to 4.85%, the highest since 2008, as it tries to contain inflation after September CPI rose 4.3% y/y. The move adds to mortgage pressure and reinforces a tighter-rate backdrop that is typically negative for precious metals via higher yields and a stronger policy bias.

The hike comes alongside concerns that the global oil shock from the war in the Middle East is feeding inflation, while major banks have already cut Australian growth forecasts, with CBA warning of a “sharper, longer slowdown.” That mix leaves inflation risk elevated but near-term policy pressure still skewed toward tighter financial conditions.