RBA Holds Rates Unchanged, AUD Downside Bias Persists – Commerzbank

The Reserve Bank of Australia (RBA) kept its cash rate unchanged in a unanimous decision. Updated forecasts from the central bank point to a rising unemployment rate and downward revisions to short-term economic projections.

According to Commerzbank analyst Volkmar Baur, the hold does not dispel the lingering downside bias for the Australian Dollar. The combination of weaker labour market signals and cautious growth outlook continues to weigh on the currency.

Despite the steady rate, market sentiment remains tilted towards AUD weakness amid global uncertainties and subdued domestic data.