Australia's central bank signals that future interest rate cuts are uncertain

FXStreet News on March 4th, the Reserve Bank of Australia has almost ruled out the possibility of further interest rate cuts in the near future. The minutes of the mid-February policy meeting emphasized that the decision to lower rates was very cautious. This is the first drop in interest rates by the Reserve Bank of Australia since 2020. The minutes stated, 'Members agreed that their decision at this meeting did not mean that they would further drop the cash Interest Rate target at subsequent meetings.' The minutes added, 'Although the economic results have given members more confidence that they can keep most of the rise in the labor market while bringing inflation back to target levels, they agreed that this is not yet guaranteed.' The minutes are consistent with remarks made by RBA Governor Brock after the policy meeting, when she played down the possibility of further interest rate cuts.