The Reserve Bank of Australia held its policy interest rate steady at 2.5% Tuesday, as expected, but also removed language in its statement about further possible easing. "In the board's judgement, monetary policy is appropriately configured ... On present indications, the most prudent course is likely to be a period of stability in interest rates," said RBA Gov. Glenn Stevens in the statement accompanying the decision. Recent statements had said the central bank remained ready to cut the benchmark rate further if needed. The Australian dollar strengthened as a result, rising to 88.29 U.S. cents from 87.60 U.S. cents just before the decision. Stocks offered little reaction, however, with the S&P/ASX 200 holding on to its 1.6% loss prior to the announcement. .
Source: Marketwatch
Source: Marketwatch
