The Reserve Bank has held official interest rates at 0.25 per cent even as signs grow the economic hit from the coronavirus pandemic is widening.
RBA governor Philip Lowe. The bank will on Friday release its quarterly monetary policy statement containing its key forecasts about the state of the economy.While Dr Lowe has signalled on several occasions 0.25 per cent is as low as the bank is prepared to take official rates, financial markets had put the chance of a cut on Tuesday at 60 per cent. The same markets believe the RBA's cash rate will still be at 0.25 per cent by October next year.
It follows continuing signs of the economic hit being taken by the country as it deals with the coronavirus pandemic.
No surprise
Where is 0.1% like in UK 🇬🇧
It’s not like they have heaps of room to move. The RBA is pretty much redundant now. Out of ammo, out of ideas. Well done.