The Reserve Bank of Australia (RBA) has kept official interest rates on hold for the first Melbourne Cup day in six years.
The cash rate remains at 3.25 per cent with RBA governor Glenn Stevens saying yesterday (November 6) that international issues have been factored into the decision.
"The United States is recording moderate growth, while recent data from China suggest growth there has stabilised," he said.
It comes as the Housing Industry Association (HIA) announced that real estate prices in the September quarter of this year rose slightly.
Listing factors which include a stable labour market, rising household incomes, lower interest rates and a steady population growth contributed to the modest rise in property prices.
Leading the way, was a 2.9 per cent jump in Brisbane, 1.6 per cent in Sydney, 0.2 per cent for Adelaide and Perth, 0.8 per cent in Darwin and a 0.3 per cent rise in Canberra. Other capital cities saw some negative growth.
Chief economist for the HIA Geordan Murray said that policy makers in Western Australia should be wary of a rising population which is contributing to a high rise in property prices and that government should take steps to ensure that it is stabilised.
