RBA keeps Official Cash Rate steady at 0.25%, AUD/USD little changed
At its scheduled April monetary policy meeting held Tuesday, the Reserve Bank of Australia (RBA) maintains its official cash rate (OCR) at a record low of 0.25%, as widely expected.
The RBA, at its emergency meeting on March 19 slashed the key rate by 25bps from 0.50% to 0.25% and announced a quantitative easing (QE) program to help the economy cushion the blow from the coronavirus pandemic.
About RBA rate decision
RBA Interest Rate Decision is announced by the Reserve Bank of Australia. If the RBA is hawkish about the inflationary outlook of the economy and rises the interest rates it is positive, or bullish, for the AUD. Likewise, if the RBA has a dovish view on the Australian economy and keeps the ongoing interest rate, or cuts the interest rate it is seen as negative, or bearish.
FX implications
With the RBA decision on the expected lines, the Australian dollar showed little reaction, as the AUD/USD pair kept its range around 0.6120.
Author
Dhwani Mehta
FXStreet
Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.
