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Lack Of Further Measures Pushes AUD Off Lows

AUD

A small blip higher in spot AUD/USD post-RBA, the pair last down 8 pips on the session at 0.7764, off lows of 0.7737 pre-announcement. The bank kept rates on hold and reiterated its dovish stance.

  • "The Board remains committed to maintaining highly supportive monetary conditions until its goals are achieved. The Board will not increase the cash rate until actual inflation is sustainably within the 2 to 3 per cent target range."
  • The RBA noted wage growth needs to improve to put pressure on inflation, which will led by tighter labour markets.
  • Some had expected further support measures from the RBA after it extended its QE programme by AUD 100bn last month.

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