Get all your news in one place.
100’s of premium titles.
One app.
Start reading
Reuters
Reuters
Business

Australia central bank rates seen at record lows until early 2020: Reuters Poll

FILE PHOTO: Pedestrians walk past the Reserve Bank of Australia building in central Sydney, Australia, February 10, 2017. REUTERS/Steven Saphore

SYDNEY (Reuters) - Australia's central bank is seen extending its record spell of steady rates well into next year, according to a median of economists polled by Reuters, with a 25-basis-point hike not expected before early-2020.

Of the 39 analysts polled, all but one sees the Reserve Bank of Australia (RBA) to hold rates at 1.50 percent at its monthly policy meeting on Tuesday.

As many as 19 of 33 respondents predicted at least one rate hike by March 2020 with 13 still seeing no change.

Last month's poll of 53 economists had pegged the next rate hike for the final quarter of 2019.

The RBA has not changed its policy settings since August 2016, when it cut rates to an all-time low of 1.50 percent in a bid to spur inflation, which has remained stubbornly below its 2-3 percent target band.

The RBA had last raised rates in November 2010 to 4.75 percent.

Of the 28 economists who gave forecasts for the second quarter of 2020, nine, including Westpac and AMP, expect no change in rates.

(Reporting by Swati Pandey; Editing by Sam Holmes)

Sign up to read this article
Read news from 100’s of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.