Economists Warn RBA Still Has Work to Do as Rate Hikes Bite Deep into Housing and Small Caps

35% — the plunge in investor home lending since early February, laid bare by Barrenjoey analysis, showing the RBA’s rate hikes have hammered the mortgage market harder than headline figures suggest.

Money Moves

• Economists warn another rate hike likely this year — KPMG chief economist Brendan Rynne says the economy remains overheated, contrary to cooling trends in Canada and New Zealand.
• Mortgage war ignites as applications plummet — NAB reports a...