Tuesday, November 6, 2012

RBA Cash Rate at 3.25% Unchanged

RBA sparking a rally in AUD. 

Some takeaways:
  • Expects Inflation consistent with target in next 1-2 years. .
  • Housing market strengthened, share prices have risen.
  • Rates for borrowers clearly below medium term average.
  • Easier conditions starting to have expected effects.
  • Terms of trade down 13% from peak last year.

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