RBA to buy A$3bn government bonds on Thursday

Dhwani Mehta FXStreet

The Reserve Bank of Australia (RBA) is considering buying A$3bn (US$1.8bn) of Commonwealth government bonds (ACGBs) with maturities between May 2021 and April 2024, IFR News reports.

This will be the RBA’s fourth round of ACGB purchases since introducing open-ended quantitative easing on March 19.

On Wednesday, the RBA extended QE into the semi-government sector to help compensate for shrinking state revenues.

AUD/USD reaction

The Aussie remains heavy below 0.5900 amid risk-aversion and weaker commodities’ prices.

At the press time, the spot trades at 0.5890, having hit a daily low of 0.5870.

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.

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