RBA Interest Rate Announcement March 2018

The RBA today has decided to leave interest rates unchanged again.

Here is the summary of what the RBA said:

1. The global economy has strengthened with some advanced economies growing above trend.
2. Headline inflation is low at under 2%. The forecast is to be “a bit” about 2% in 2018.
3. Australian economy is forecast to grow faster in 2018 than in 2017.
4. Australia had strong employment growth over 2017.
5. Sydney and Melbourne housing markets have slowed.

More details at https://www.rba.gov.au/media-releases/2018/mr-18-05.html

In terms of interest rate expectations, the markets don’t expect a rate hike this year as the chance of one faded when the low inflation figure came out last month.