- Tuesday, 17 July 2018
- News
The RBA's rationale for why it's not rushing to lift rates
The Reserve Bank of Australia (RBA) thinks the next move in official interest rates is likely to be higher should progress in lowering unemployment and boosting inflationary pressures continue in the period ahead. However, despite calls from some academics, including a former Board member, that interest rates should increase now, it still sees “no strong case for a near-term adjustment in monetary policy”.
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- Tuesday, 03 July 2018
- News
RBA left interest rates unchanged
The Reserve Bank of Australia left rates on hold as widely expected and emphasized the uncertain outlook. Inflation is below target, private investment is soft, and domestic demand is weak. There are well-known international sources of uncertainty too like trade, and the outlook for the Chinese economy. The low level of interest rates is continuing to support the Australian economy.
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- Monday, 25 June 2018
- News
Aussie under pressure as interest rates at record low, RBA wants to see wage rise
The Reserve Bank of Australia’s Official Cash rate is still at 1.50%, a record low and the longest unchanged interest rate in the country’s history. No changes are fully-priced into rate futures markets until the end of 2019. No wonder, perhaps then, that the poor old Aussie Dollar should be struggling. The problem for both Asia Pacific economies is, of course inflation; the lack of it, to be specific. While neither country is performing especially badly, particularly on the employment front, pricing power remains stubbornly absent. Japanese consumer price inflation got up to 1.5% in February of this year. That was a near three-year high and the sight of it raised hopes that the BoJ’s 2% target might be within reach.
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- Tuesday, 06 March 2018
- News
RBA left interest rates on hold
The Reserve Bank of Australia has left the cash rate at a record-low 1.5 per cent, as sluggish wage growth and inflation put the board in a holding pattern for the 17th meeting in a row. Reserve Bank governor Philip Lowe used the word "gradual" to describe Australia's economic recovery three times in his short statement on monetary policy on Tuesday, indicating the bank is in no rush to raise interest rates from their historic lows.
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