RBA Believes the Australian Dollar remains “Uncomfortably High”

The Reserve Bank of Australia (RBA) on Tuesday left its key interest rate steady at a record low of 2.5 percent, as expected, and said the Australian dollar remains “uncomfortably high.”

In a statement following its final monetary policy meeting of the year, the RBA said the economy needs a weaker currency and that its sees below-trend growth continuing in the near term.

The Australian dollar, also known as the Aussie dollar, fell in response to the statement. It last traded at about $0.9084 to the U.S. dollar, down almost 0.25 percent on the day and within sight of last week’s near three-month trough.

CNBC

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.