RBA Holds Rate as Greek Drama Drives Aussie Below 75 Cents
ByAustralia left its key interest rate unchanged after Greece’s drama drove the currency below 75 U.S. cents and Sydney’s property bubble argued against a further cut.
Central bank Governor Glenn Stevens kept the cash rate at a record-low 2 percent Tuesday as predicted by markets and economists, and after cuts in May and February. He identified 75 cents in December as a level that would help the economy.
“The Australian dollar has declined noticeably against a rising U.S. dollar over the past year, though less so against a basket of currencies,” Stevens said in a statement. “Further depreciation seems both likely and necessary, particularly given the significant declines in key commodity prices.”…
RBA Holds Rate as Greek Drama Drives Aussie Below 75 Cents
