RBA Cash Rate Steady at 3.60%

By Sophia Rodrigues

The Reserve Bank of Australia kept the cash rate unchanged at 3.60%, citing remaining inflationary pressure, private demand recovery and "little tight" labour market conditions as reasons.

The Board noted trimmed mean inflation in the September quarter was "materially higher" than previously expected, but made a judgement some of the increase was due to temporary factors.

The baseline forecasts in the Statement on Monetary Policy show inflation at 2.6% at the end of the forecast period based on one more cash rate cut.