BBSW On The Up (Funding Pressure Rises)

The Bank Bill Swap Rate has been moving higher recently, suggesting more bank funding pressure ahead. Expect more deposit rate cuts (banks can do this and get almost no coverage or complaints, weirdly), whereas mortgage repricing always gets attention.

No help to those households reliant on income from deposits.  We think the banks are still sitting on eroding margins.



Author: Martin North

Martin North is the Principal of Digital Finance Analytics

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