The Traderszone Network

Published in TZ Latest News 4 May, 2015 by The TZ Newswire Staff

Australia’s RBA cuts rates, markets wonder if that’s all

Australia’s central bank cut interest rates for the second time this year on Tuesday, seeking to buttress the economy against sliding mining investment while heading off a harmful increase in the local dollar. The currency did initially drop after the Reserve Bank of Australia (RBA) trimmed its cash rate a quarter point to a fresh all time trough of 2.0 percent. “The Board judged that the inflation outlook provided the opportunity for monetary policy to be eased further, so as to reinforce recent encouraging trends in household demand,” said RBA Governor Glenn Stevens.