Reserve Bank of Australia

RBA warns a spike in interest rates could unhinge financial markets

source site Record low interest rates, accelerating asset prices and a growing appetite for risk could be laying the groundwork for a sharp correction across financial markets, the Reserve Bank has warned. In its latest Financial Stability Review released on Friday morning, the RBA says strong global economic conditions over the past six months suggests asset prices have surged because investors “see little chance of adverse outcomes”.

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source link Read the full article on ABC Online.

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