Westpac and ANZ forecast interest rate rises next month

Economists from Westpac and ANZ have shifted their forecasts for the date of the next increase in interest rates by the Reserve Bank of Australia (RBA) to next month.

ANZ experts shifted their forecasts from July to June, while Westpac's chief economist Bill Evans made an even more drastic change to his prediction, altering it from September, reports ABC News.

Commenting on the most recent statement by the RBA announcing that interest rates would remain at their current level, Mr Evans said: "The language that was used in the final paragraph of the introduction is pretty much exactly the same language that was used in October 2010."

Explaining the significance of this observation, the expert observed that November 2010 was the last time that there was a hike, with the RBA pushing the cash rate up 25 basis points to the current level of 4.75 per cent.

The highest interest rates experienced over the last ten years were between February and September 2008, when it was steady at 7.25 per cent.

Have a question about interest rates? Ask the money gurus at Mozo AnswersADNFCR-1761-ID-800522776-ADNFCR