The Reserve Bank of Australia kept its benchmark unchanged on Tuesday in a widely expected move.
Money The country’s money has remained at 1.5 percent since August 2016th
In the Australian dollar, the RBA said recently the strength of “to contribute to degraded pressure on prices in the economy.”
“There is also loading the prospects for production and employment. Some kind of significant changes should lead to slow economic growth and inflation from currently expected,” said RBA Governor Philip Lowe in a recent statement by the Central Bank.
The local currency did not move significantly after the release of monetary policy
It’s interesting when the RBA publishes a quarterly statement on Friday, so we get a new perspective on them. I can say that it could be your growth is a part, “said Ticehurst” Capital Connectivity at CNBC.
The central bank is scheduled to release its quarterly report on Friday; upgrades provide important economic indicators, such as gross domestic product and inflation.
Market inspectors expected the central bank’s comments on the Australian dollar after rising from $ 0.76 to $ 0.80 last month, partly due to the weakness of the US currency.
“If the investment in mining continues to fall, the consumer is under pressure and the casing that seems to be at the top, the contribution is growing exposed, such as tourism, higher education, manufacturing and agricultural trade, but the rising Australian dollar works against you,” Shane Oliver, Investment Strategy Leader and Chief Economist AMP Capital, wrote in a note before Tuesday’s political decision.
“What’s more, the strength of the Australian dollar is still downward pressure on inflation. All this makes more RBA trying to beat the Australian dollar down,” he added.
Contrary to comment on the currency, the Reserve Bank of Australia kept its blanket largely unchanged in relation to its previous statements. It was aimed at improving the economy gradually, though the debt of households is still growing worries.