As expected, the Reserve Bank of Australia is keeping the cash rate unchanged at 3% and has repeated its view that there is scope to ease policy if necessary to support demand.
This should mean stable rates for vehicle finance.
Today’s statement from the Reserve Bank contains almost identical language to its March 6 statement.
“Inflation is consistent with the medium-term target, with both headline CPI and underlying measures at around 2.25 per cent on the latest reading,” governor Glenn Stevens says.
“Labour costs remain contained and businesses are focusing on lifting efficiency. These trends should help to keep inflation low, even as the effects on prices of the earlier exchange rate appreciation wane.”
The Australian dollar increased to $US1.0467 after the statement from $US1.0459 immediately before.
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