RBA Downgrades its Economic Outlook

Australia’s central bank softened its economic outlook for 2016 to reflect slower population growth and said the effects of this year’s double interest rate cuts were still working through, suggesting it remained in a wait-and-see mode.

In its 72-page quarterly report, the Reserve Bank of Australia (RBA) said there is a “reasonable chance” for the local dollar to fall further once the Federal Reserve started to tighten monetary policy this year.

However, it omitted a previous prediction that a further drop in the currency was both likely and necessary.

via CNBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza