Australia's central bank is ready to cut interest rates again 'if need...
SYDNEY, - Australia’s central bank is ready to cut interest rates again “if needed” to support employment, wages growth and inflation, having already eased to a record low of 1% earlier this month.
“Lower interest rates would provide more Australians with jobs and assist with achieving more assured progress toward the inflation target,” the minutes showed. Financial markets have already priced in a real chance of another rate cut to 0.75% by year-end. Economists polled by Reuters prior to the July 2 meeting predicted a third cut in November. [AU/INT]
The Board noted that public sector investment in welfare schemes and infrastructure had helped boost first-quarter growth, a nudge to the newly re-elected government of Prime Minister Scott Morrison to do more. “Members noted that the adjustment in the retail sector had been protracted and had put downward pressure on inflation for some years,” the minutes noted.
The Board judged lower rates would support the economy by keeping the value of the Australian dollar lower than it would otherwise be, while also reducing borrowing costs for households and businesses.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
China central bank injects 200 billion yuan in one-year MLF rollover, rate unchangedChina's central bank on Monday lent 200 billion yuan to financial to financ...
Read more »
How your money might be affected if the Fed cuts interest ratesConsumers can expect to feel the effects of an expected Federal Reserve interest rate cut squarely in their savings account.
Read more »
Recep Tayyip Erdogan sacks the head of Turkey’s central bankThe defenestration of Murat Cetinkaya could lead to a currency crisis
Read more »
Swimming: Sun doping case needs more 'clarity', says Australia coachAustralia's head swimming coach has questioned a panel decision to clear Su...
Read more »
Cutting only 300 calories a day can cut risk of diabetes, heart disease, study findsA calorie restriction can decrease the risks of such things as heart disease and diabetes, according to the study in The Lancet Diabetes & Endocrinology.
Read more »
Rate cut with stock market at all-time highs? It’s been done before — but here’s what’s differentA look back at history shows that the Fed has been willing to cut rates with stocks at or near all-time highs in the past, but it’s a phenomenon that hasn’t...
Read more »