Australian interest rate left unchanged

Comment on this story
ReserveBankofAustralia Reuters. Sun reflects off the front door sign of the Reserve Bank of Australia building in Sydney.

Sydney - Australia's central bank left the interest rate untouched at 3 per cent after its monthly meeting Tuesday, citing firming commodity prices and improving sentiment in markets around the world.

The cash rate had been lowered by 1.5 per cent over the past 12 months and some economists had predicted another reduction in the cost of borrowing to pep up demand.

“Present indications are that moderate growth in private consumption spending is occurring, though a return to the very strong growth of some years ago is unlikely,” bank governor Glenn Stevens said.

His statement also noted that “there are signs that the easier conditions are having some of the expected effects” with house prices moving up along with demand for consumer goods. - Sapa-dpa

sign up

Comment Guidelines

  1. Please read our comment guidelines.
  2. Login and register, if you haven’ t already.
  3. Write your comment in the block below and click (Post As)
  4. Has a comment offended you? Hover your mouse over the comment and wait until a small triangle appears on the right-hand side. Click triangle () and select "Flag as inappropriate". Our moderators will take action if need be.

  5. Verified email addresses: All users on Independent Media news sites are now required to have a verified email address before being allowed to comment on articles. You are only required to verify your email address once to have full access to commenting on articles. For more information please read our comment guidelines