Australia's interest rate held at 1.5 pct for 33rd month

Reserve Bank interest rates: RBA meets to decide whether to cut cash rate – live

Lowe said a further improvement in the labour market is needed for inflation to be consistent with the target.

As of writing, the two-year yield is trading at 1.29%. The Australian dollar rose sharply on the decision climbing to 70.45 USA cents from 70.00 US cents just before the policy announcement. The Australian dollar strengthened and the stock market fell slightly on the decision.

"Given this assessment, the Board will be paying close attention to developments in the labor market at its upcoming meetings", the RBA said.

Westpac expect this move in the Australian Dollar to continue to push towards USD0.7060/80.

The Australian dollar spiked almost half a cent against the USA dollar.

OFX Global Currency Account - Independent BER Review OFX Global Currency Account: A Summary OFX has a 30-year history and is one of the largest foreign exchange specialists in the world. Find out more here.

Australian economic momentum has slowed since the middle of past year and inflation has remained subdued.

With the jobless rate around 5%, that means there will be only a slow fall in unemployment over the next two years.

"The precise timing of these cuts will depend on the labour market".

More news: Pope Francis Issues Church Law Governing Sex Abuse Reporting And Investigation

"It's clear that even a small change in the unemployment rate or a further drop in inflation could trigger a cut", Mr Cooke said.

But he remained bullish on the labour market, describing it as "strong" and maintaining that unemployment would stay around current levels of 5% before falling in time to 4.75%.

The RBA continues to expect inflation "to pick up", but to do so only "gradually".

The RBA revised down its growth forecast to 2.75 percent for 2019, from previous outlook of 3 percent.

For the Australian dollar as a whole, this may benefit in the coming months from what appears to be a relatively hawkish RBA. The RBA said in yesterday's statement: "In headline terms, inflation is expected to be around 2 percent this year, boosted by the recent increase in petrol prices", the RBA forecast. But if that looks like not happening, will the central bank cuts rates.

Shane Oliver, Head of Investment Strategy and Chief Economist at AMP Capital says his expectation was that the RBA would cut at this meeting particularly given the weak March quarter inflation outcome. In the February statement, the forecast was more general - "A further decline in the unemployment rate to 4¾ percent is expected over the next couple of years", The RBA said.

The cash rate has now been on hold at 1.5 per cent since August 2016.

"A stronger than expected result might delay cuts a little longer", he said.

Related News:

Most liked

Athletics’ Mike Fiers throws 2nd career no-hitter, beats Reds 2-0
Second baseman Jurickson Profar also made a diving catch ranging into short right field, one batter before Laureano robbed Votto. Mike Fiers became the 35th pitcher in Major League history with two no-hitters to his name by throwing another unlikely one.

National Basketball Association playoff wrap 2019: 76ers force Game 7 with win over Raptors
Let's take a look at when Game 7 between the Sixers and Raptors will take place, while also offering a prediction and pick. Currently, the only known time of a possible Game 7 is the Rockets and Warriors, who would play at 3:30 p.m.

Madrid Open:Osaka, Halep reach quarter-finals
Romania's two-time Madrid victor Halep beat Britain's Johanna Konta 7-5, 6-1 and will play Viktoria Kuzmova in the next round. The 18-year-old Auger-Aliassime has reached the final in Rio and the semifinals in Miami already this year.

Justin Bieber, Ed Sheeran join forces for duet I Don't Care
It's called " I Don't Care " hope you like it", Sheeran wrote on his Instagram page, while Bieber simply tweeted: "It's out. Justin Bieber and Ed Sheeran have just released the much awaited collaboration they had been teasing fans about.

Australia set for marathon home summer after India rebuff
New Zealand will grace Optus Stadium in Perth for the first test against Australia in December, a day-night match. CA wanted one of the four Tests against India played in the last season to be a day-night affair as well.

Comey: Trump would be charged with obstruction if he was not president
It damaged the institution and it tarnished the Russian Federation investigation. Comey, at the time of his dismissal, was leading the Russiagate probe.

'Harry and Meghan creating a fortress to protect their baby'
True to character, Meghan Markle and Prince Harry have chosen a non-traditional and somewhat unusual name for their first child. Speaking on Yahoo UK's The Royal Box , author Katie Nicholl says the royal couple " knew they could create a fortress there".

Kim Kardashian & Kanye West’s Surrogate Is in Labor With Their Fourth Child
Kim and Kanye's three kids were at the Ellen taping and not at the hospital to await the arrival of their new baby brother. Host Ellen let the cat out of the bag on Thursday night, tweeting: "I surprised @KrisJenner with 6 of her grandchildren".

Young Joni chef Ann Kim wins James Beard Award
Rahm Emanuel, on the Beard stage for the last time as mayor, spent his time taking shots at a certain sitting president. While the design firm is based in NY , it has worked on a number of projects in Chicago, including Steadfast and Boleo.

Taliban claims responsibility for Kabul blast targeting foreign NGOs
It comes after the Taliban refused an offer by President Ashraf Ghani for a ceasefire from the first day of Ramadan. He said the targeted organisation helped local communities, trained journalists and supported the Afghan people.

USA increases tariffs on $200bn of Chinese goods as trade talks continue
During the past year of tit-for-tat tariff exchanges, China has imposed tariffs on all but US$10b of its purchases from the US. And he has renewed his threat to extend the tough tariffs to all products the United States imports from China.

Blue Origin unveils lunar lander ‘Blue Moon’ and BE-7 rocket engine
The goal is to land on the Moon's south pole, where ice deposits were confirmed in 2018. The Blue Moon lunar lander comes loaded with enough fuel to get from Earth to the Moon.

Donald Trump pardons former soldier convicted of killing Iraqi prisoner
Tom Clark walk in Camp Speicher, a large USA base near Tikrit, north of Baghdad, Iraq , on September 21, 2008. Mary Fallin and Attorney General Mike Hunter - who repeatedly asked Trump to pardon Behenna.

Mario Balotelli On Lionel Messi Vs Cristiano Ronaldo After FC
This action contributed Liverpool greatly, as Barcelona players were not ready for it, and didn't even defend their box properly. The striker was injured in the quarter-final first leg against Manchester City and has been sidelined since.

USA nuclear bombers arrive in Qatar to face 'credible threat from Iran'
The Abraham Lincoln and its strike group of ships and combat aircraft have been operating in the Mediterranean Sea recently. Ambassador Bolton singled out Iran, and specifically Iran's non-state allies and proxy forces, as causes for concern.