At its meeting today, the RBA Board have decided to leave the cash rate once again unchanged at 1.50%
- The global economic expansion is continuing. A number of advanced economies are growing at an above-trend rate and unemployment rates are low.
- Growth in China has slowed a little, with the authorities easing policy while continuing to pay close attention to the risks in the financial sector.
- The Australian economy is performing well. The unemployment rate declined to 5 per cent, the lowest in six years. The forecasts for economic growth in 2018 and 2019 have been revised up a little.
- Conditions in the Sydney and Melbourne housing markets have continued to ease and nationwide measures of rent inflation remain low. Growth in credit extended to owner-occupiers has eased but remains robust, while demand by investors has slowed noticeably as the dynamics of the housing market have changed. Credit conditions are tighter than they have been for some time, although mortgage rates remain low and there is strong competition for borrowers of high credit quality.
Taking account of the available information, the Board judged that holding the stance of monetary policy unchanged
To view the full statement of Phillip Lowe, Governor of the Reserve Bank, please click here.
Published : 05 Nov 2018