Saturday, January 5

The Dreadful

Just yesterday, one of the biggest bank here in Aus lift the lending interest rate. (I just hope it did the same to investments.) The reason mainly was the subprime crisis in the USA. And because this bank borrows money overseas, it has to raise the interest rate to cope with the rising interest payment - a cause and effect scenario. It wouldn't be long when all the other banks will follow suit.

People are already expecting a great impact from this interest hike - increase in the price of goods in the market and interest rate hike on home loans (I just hope Wilmington NC real estate is not on this).