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Reserve Bank of Australia keeps interest rates on hold at 1.0%
Sep 3, 2019SYDENY, Australia – The Reserve Bank of Australia (RBA) has kept the official interest rate at its historic low of 1.0%.
The decision was in line with consensus forecasts, with just four economists of 31 surveyed by Bloomberg tipping another cut.
It comes after the RBA cut interest rates twice consecutively in June and July. Before that, the cash rate had sat at 1.5% for the better part of three years.
The RBA has previously indicated that one of its key metrics remains unemployment. Governor Lowe has previously revealed that the RBA’s goal is to reduce unemployment to 4.5% to finally produce wage growth.
Unemployment currently sits at 5.2%, and despite the economy generating a host of new jobs last month, that level is unlikely to budge according to forecasts… more
