AUD/USD is under 0.6970 from sitting just a little higher than that for the earlier portion of the day.
RBB Governor Lowe spoke, post is here:
Lowe was dovish, he was never going to be anything but, after all the Bank has only recently moved that way. He was non committal on more interest rate cuts, but they ain;t going up any time soon either:
- Whether or not further monetary easing is needed, it is reasonable to expect an extended period of low interest rates.
- On current projections, it will be some time before inflation is comfortably back within the target range. The Board is strongly committed to making sure we get there and continuing to deliver an average rate of inflation of between 2 and 3 per cent. It is highly unlikely that we will be contemplating higher interest rates until we are confident that inflation will return to around the midpoint of the target range.
