Released today, the RBA’s monetary minutes concluded that the money market rates in Australia continued to imply that the cash rate was expected to remain unchanged over the remainder of the year.
“At recent meetings, the Board had judged that it was prudent to leave the cash rate unchanged and members noted that the cash rate could remain at its current level for some time if the economy was to evolve broadly as expected,” the minutes said.
“Developments over the past month had not changed that assessment,” it said.
“There had been further signs that low interest rates were supporting domestic activity.”
The minutes noted that the Board would continue to monitor developments in the economy, with members noting that, on present indications, the most prudent course was likely to be a period of stability in interest rates.