AUD has turned bid in the wake of the........>

AUSSIE: AUD has turned bid in the wake of the latest RBA MonPol decision, as the

Bank failed to allude to a more neutral view on MonPol as it left the cash rate

unchanged.

- The bank trimmed its GDP forecast to 3.0% for 2019 (prev. 3.25%) and a little

below that level in 2020, which will be formalised in Friday's SoMP. The Bank

also noted that some downside risks to the economy have increased, highlighting

uncertainty around domestic consumption owing to lower house prices. The Bank

now looks for 2.0% underlying inflation in 2019, rising to 2.25% next year.

- The Bank noted that the labour market remains strong, with a continued focus

on the 4.75% unemployment rate. The Bank expects a tightening labour market to

lift wages over time, albeit gradually.

- The Bank also tipped its hat to slowing demand for owner-occupier housing

credit, and a period of adjustment in Melbourne & Sydney house prices.

- AUD/USD last 20 pips or so higher on the day at $0.7250, just shy of

yesterday's high, with bulls ultimately eying the 200-DMA at $0.7289.