ANZ and CBA Tip Interest Rate Hike in November Amid Stubborn Inflation

The Reserve Bank of Australia (RBA) is expected to raise interest rates in November after two big four banks, ANZ and CBA, reversed their forecast for a rate cut. The banks now predict that the RBA will lift the cash rate by 0.25 percentage points to 4.6 per cent, which would be the highest setting since October 2011.

The move comes after Wednesday's inflation figures showed a 3.5 per cent annual increase in prices, exceeding the RBA's target range of 2-3 per cent. The trimmed mean, the Reserve Bank's preferred measure, also rose to 3.6 per cent.

According to Canstar, a 0.25 percentage point rate hike would add around $91 to the monthly repayment on a $600,000 loan with 25 years remaining, bringing the total increase to $363 since the four rises in 2026.