Currency complications for RBA
RBA meeting today kept the cash rate unchanged at 2% as expected. However there were some concerns expressed on the recent appreciation of the $AUD in the statement from Governor Glenn.
The Australian dollar has appreciated somewhat recently. In part, this reflects some increase in commodity prices, but monetary developments elsewhere in the world have also played a role. Under present circumstances, an appreciating exchange rate could complicate the adjustment under way in the economy.
Statement by Glenn Stevens, Governor: Monetary Policy Decision
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