RBA softens case for more rate cuts

RBA softens case for more rate cuts. The Reserve Bank of Australia has kept the door open to further official interest rate cuts but hinted that it may be less inclined to ease monetary policy again if the US Federal Reserve triggers declines in the Australian dollar. Outlining a relatively down-beat picture of the economy - which is growing slower than its long-term pace and not enough to prevent unemployment rising - board members said a case to ease monetary policy further might emerge. However, they opted to remain on hold two weeks ago to await fresh signs that the economy may strengthen, the Reserve Bank said in the minutes of its February meeting, published on Tuesday. Significantly, the minutes noted that there was a greater degree of uncertainty about the behaviour of borrowers and savers in a world of very low interst rates. Read the full article (paywall): (VIEW LINK)