| The Reserve Bank of Australia is set to win more room to weaken its currency after lenders started doing their bit to cool the housing market. Australia & New Zealand Banking Group Ltd. said last week it will stop giving discounts on mortgage rates to investors, while National Australia Bank Ltd. also said it would respond to calls from regulators and limit such offers.
The RBA’s monetary easing has added fuel to a property boom, with house prices in Sydney rising about 40 percent over the past three years. While the central bank says the economy needs a weaker exchange rate, the Aussie has climbed 2.2 percent in the past month against the greenback even after the RBA cut its cash rate to a record low 2 percent...............................................Full Article: Source
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