Economic Buzz: Reserve Bank Of Australia retains key rate

The Reserve Bank of Australia retained its interest rate, as widely expected, after lowering it in August.

The board, headed by Michele Bullock, decided to hold the cash rate at 3.60 percent, the lowest since March 2023.

Previously, the bank reduced the rate by 25 basis points each in August, May and February.

With signs that private demand is recovering, indications that inflation may be persistent in some areas and labour market conditions overall remaining stable, the Board decided that it was appropriate to maintain the cash rate at its current level at this meeting, the bank said in a statement.

Policymakers said they remain alert to the heightened uncertainty about the outlook and the policy is well placed to respond decisively to global developments.

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