Timothy Sumer

Subscribe to 7NEWS Australia for the latest breaking news video » Connect with 7NEWS online: Visit » 7NEWS Podcast » Facebook » Twitter » Instagram » 7NEWS combines the trusted and powerful news brands including Sunrise, The Morning Show, The Latest, and 7NEWS.com.au, delivering unique, engaging and continuous coverage on the issues that matter most to Australians. Watch 7NEWS nightly at 6pm and weekdays at 11:30am and 4pm on Channel 7 and 7plus. #7NEWS #BREAKINGNEWS... ( read more ) BREAKING: Recession News LEARN MORE ABOUT: Bank Failures REVEALED: Best Investment During Inflation HOW TO INVEST IN GOLD: Gold IRA Investing The Reserve Bank of Australia (RBA) is Australia's central bank, responsible for setting the country's interest rates, managing the money supply, and ensuring economic stability. In recent months, the RBA has been hiking interest rates, with the latest increase taking place in November 2021. However, many experts are

Some economists are warning we're heading for an unnecessary recession. Economists at the consultancy firm Deloitte are warning of a potential recession should the Reserve Bank keep hiking interest rates. Australian consumers surprised everyone with their continued appetite to spend all through last year despite the official cash rate jumping from 0.1 percent to 3.1 percent and inflation rocketing to its highest level since the early 1990s. Retail spending held up remarkably well. But the economists at Deloitte believe consumers are about to run out of steam, saying there are already signs that households are feeling the pinch from falling house prices, higher mortgage repayments and expenses like rent, petrol and groceries getting ever more expensive. Something which economists are watching closely is how well households cope with fixed rate mortgages expiring this year. Several hundred thousand fixed rate mortgages will roll off - meaning borrowers will need to t