Analytical Reviews

Get the latest economic news from ForexMart, including updates on the financial market, central bank policy announcements, financial indicators, and other relevant news which can impact the industry.

Disclaimer:  Information provided here to retail and professional clients does not contain and should not be construed as containing investment advice or an investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance.

Australia's Central Bank Induces Global Risks


July, 03 2018
watermark Economic news

The Reserve Bank of Australia (RBA) sustained the interest rates at a record low for 23 consecutive months on Tuesday, indicating weakened inflation and wages at home with a risk of global growth from trade policy in the United States.

Previous cut rates of the central bank were 1.50 percent in August 2016, making it the longest run without change since the change in formalized cash rate in 1990. It indicates every sign of the process being expanded.

Employment reduction is ongoing and inflation returns to the anticipated target, which shows gradual progress, according to RBA Governor Philip Lowe after the bank’s monthly policy meeting.

Inflation remains strongly below the floor of 2-3 percent target band and wages failed to recover despite solid job gains, where “Gradual” became a significant term.

There is another risk concerning the tariff implementation from the U.S. President Donald Trump against Europe and China, where Australia’s single biggest export market on the latter.

The global perspective is relative to the course of international trade policy in the United States, according to Lowe which is expectedly underrated.

A probable trade war is the biggest single external threat to Australia’s prosperity due to a potential trade war. The two-way trade accounts for 45 percent of Australia’s annual gross domestic product (GDP).

A Reuters poll of 34 analysts anticipates the cash rate to remain unchanged this week. Compared to mid-year in the previous poll, the increase was not anticipated prior to the July quarter of 2019.

コメントする

ForexMart is authorized and regulated in various jurisdictions.

(Reg No.23071, IBC 2015) with a registered office at Shamrock Lodge, Murray Road, Kingstown, Saint Vincent and the Grenadines

Restricted Regions: the United States of America, North Korea, Sudan, Syria and some other regions.


© 2015-2024 Tradomart SV Ltd.
Top Top
Risk Warning:
Foreign exchange is highly speculative and complex in nature, and may not be suitable for all investors. Forex trading may result in a substantial gain or loss. Therefore, it is not advisable to invest money you cannot afford to lose. Before using the services offered by ForexMart, please acknowledge the risks associated with forex trading. Seek independent financial advice if necessary. Please note that neither past performance nor forecasts are reliable indicators of future results.
Foreign exchange is highly speculative and complex in nature, and may not be suitable for all investors. Forex trading may result in a substantial gain or loss. Therefore, it is not advisable to invest money you cannot afford to lose. Before using the services offered by ForexMart, please acknowledge the risks associated with forex trading. Seek independent financial advice if necessary. Please note that neither past performance nor forecasts are reliable indicators of future results.