Morgan Stanley says the RBA is likely to raise rates only once more

Richard Wagner is CEO of Morgan Stanley’s Australian office. He spoke with Bloomberg TV.

He has an optimistic outlook on Reserve Bank of Australia rate hikes ahead. Says only one more hike coming.

• “It takes a few months for those rate rises to drain bank accounts so we’re really talking about a third-quarter phenomenon where the consumer will have adjusted significantly and then we’ll be on pause.”
  
• a number of consumer companies have recently announced earnings
  Earnings
  
  A company’s earnings represent its profits or net benefits as a result of its operation.Earnings are the net benefits of a corporation’s operation. Earnings can be calculated as EBIT, i.e. earnings before interest and taxes, and EBITDA, i.e. earnings before interest, taxes, depreciation, and amortization.Earnings are valuable tools for investors of company shares as they can often highlight a company’s financial standing and performance. Better performances can result in strengthened share price
  
  A company’s earnings represent its profits or net benefits as a result of its operation.Earnings are the net benefits of a corporation’s operation. Earnings can be calculated as EBIT, i.e. earnings before interest and taxes, and EBITDA, i.e. earnings before interest, taxes, depreciation, and amortization.Earnings are valuable tools for investors of company shares as they can often highlight a company’s financial standing and performance. Better performances can result in strengthened share price
  Read this Term downgrades in Australia (which) indicates that households have already “capitulated to the cost of living.”