An official cash rate rise is likely in October, according to the Commonwealth Bank.
The Commonwealth Bank has revealed that it is expecting an interest rate rise from the Reserve Bank of Australia (RBA) in October.
And chief economist of the organisation - which offers a range of Commonwealth Bank credit cards - Michael Blythe stated that this would have an effect on subsequent increases each month, the Australian Associated Press reports.
He does not believe there will be three consecutive rate gains after October, however, Mr Blythe forecast that the cash rate will touch six per cent at some point during 2011.
Any increase next month would follow on from last year when the RBA raised the cash rate three times from October to December, while the group stated earlier this month that Aussie credit conditions were difficult.
Mr Blythe observed that concerns about a double-dip recession and unsettled financial markets are "waning", but he said the RBA may have to change its growth and inflation predictions.
By Joe Letts
