Aussie Falls After RBA Minutes Suggest Possibility of Interest Rate Cut

The Australian dollar fell today after the Reserve Bank of Australia released minutes of its latest monetary policy meeting. The notes suggested possibility of an interest rate cut.

The RBA released minutes of its March 1st meeting where the central bank left monetary policy unchanged. Members of the Board had a lengthy discussion of the global economic slowdown and its possible impact on Australia. The discussion concluded with a suggestion of a possible reduction of interest rates in the future:

Members noted that continued low inflation would provide scope to ease monetary policy further, should that be appropriate to lend support to demand.

AUD/USD was down from 0.7507 to 0.7454 as of 17:02 GMT today. AUD/JPY declined from 85.43 to 84.24.

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