[ad_1]
The Australian dollar abruptly reversed its previous gains on Thursday after Westpac predicted that the Reserve Bank of Australia would cut rates in August and November.
The currency retreated after a two-week high after positive employment numbers, after Bill Evans, Westpac's chief economist, said he expected the RBA to cut back on the economy. rate of 25 basis points in August and November.
The Australian dollar weakened by 0.2% to 0.7151 dollar, after already gaining up to 0.6% in employment figures.
Philip Lowe, governor of Australia's central bank earlier this month, has opened the door to lower interest rates, citing the risks of a falling global economist and a slowing market for credit. domestic dwelling. The bank has maintained its cash rate at 1.5% since August 2016.
"The decision of the board of the reserve bank to accept the possibility of further interest rate cuts, despite the current record levels, is of utmost importance," said Mr. Evans.
Westpac also revised down the country's economic growth forecast for 2019 and 2020, bringing it down to 2.2% and 2.6% respectively.
Source link
