At its meeting today, the Board decided to maintain the cash rate target at 10 basis points and the interest rate on Exchange Settlement balances at zero per cent.
Headlines via Reuters ... RBA:
- says board is prepared to be patient
- says war in Ukraine is a major new source of uncertainty.
- board is committed to maintaining highly supportive monetary conditions
- will not increase the cash rate until actual inflation is sustainably within the 2% to 3% target range
- prices of many commodities have increased further due to the war in Ukraine
- Australian economy remains resilient and spending is picking up following the omicron setback
- wages growth has picked up but, at the aggregate level, is only around the relatively low rates prevailing before the pandemic
- pick-up in wages is still expected to be only gradual,
- how long it takes to resolve the disruptions to supply chains is an important source of uncertainty regarding the inflation outlook
more to come
Full text of Governor Lowe's statement: