Sydney's Mortgage Pain Signals RBA On Hold Into Next Decade

The video discusses the rising funding costs for Australian banks, particularly Westpac, due to basis swaps and the declining Australian dollar. It highlights the impact on domestic funding costs, with the bank bill swap rate remaining high despite expectations of RBA rate hikes lessening. The video also explores how these factors influence monetary policy, with the RBA maintaining a low cash rate due to economic sluggishness and the impact on mortgage holders.

In what way does the RBA's cash rate target impact mortgage holders?

What are the implications of a sluggish economy on the RBA's monetary policy decisions?