RBA keeps rates on hold

Written By miftah nugraha on Selasa, 02 Juli 2013 | 19.55

INTEREST rates have been left on hold at 2.75 per cent at the Reserve Bank's monthly board meeting.

The steep fall in the Australian dollar since mid-April from $US1.05 to US92c took the pressure off the RBA to act straight away.

But economists said homeowners can expect further rate cuts in the months ahead as the central bank retained its easing bias as the economy transitions away from the mining boom.

This RBA decision comes as the share market has clawed back most of yesterday's losses after the ASX 200 dropped 2 per cent on Monday on fears of a slowdown in China.

But a slew of upbeat data from the US and Europe has fuelled optimism about the global outlook and overshadowed concerns about China.

stephen.mcmahon@news.com.au


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