World Economy

Australia Rates Steady

Australia Rates SteadyAustralia Rates Steady

Australia left interest rates unchanged Tuesday after the local dollar recorded the biggest drop among major currencies last quarter, cushioning the impact of lower commodity prices and a weaker outlook in key trading partner China, Bloomberg reported. In a largely unchanged statement, Reserve Bank of Australia Governor Glenn Stevens and his board kept the cash rate at a record-low 2%, as predicted by markets and economists, following reductions in May and February. The currency dropped almost 9% in the June-September period. Australia has so far had little success in stimulating industries with rate cuts outside of real estate as a decade-long mining investment boom unwinds.