Rates Bottom out

So today ANZ have announced they are putting up their variable rates despite the RBA remaining unchanged.  Citibank have also announced a change in their fixed rates from 5.75% to 5.99% effective Monday 13/2.

There has been much speculation over the movement of rates, with many predictions that they will continue to go down.  Everyone has an opinion, what's important is having an educated opinion.

I believe rates are fairly close to the cost of funds for most banks, and unless the Euro collapses I cant see them plummeting.

If you currently are on variable, then I suggest fixing now and taking advantage of a low rate

Major Banks announce record billion dollar profits

I read on the front page of the Advertiser today that the likes of ANZ, CBA and Westpac have made record profits ranging from $5-$7 billion, yet they are going to be cutting thousands of jobs this year to maintain these profits due to high cost of funds and a rate of new mortgages as low as during World War 2.  Really?  I read this and felt instant anger and frustration.  How pathetic that an institution as large as ANZ is incapable of managing their own balance sheet that their first option is to cut Jobs.  People are what make up every single business.  Banks continue to abuse the relationships they have with their employees, yet they demand loyalty and respect.  What a joke.  All I can say is thank god I no longer work for one.