Asian session investors were shown with a report of the minutes of the Reserve Bank of Australia (RBA) meeting which kept interest rates unchanged and the target for 3 -year government bond yields at a low of 0.10% during the meeting earlier this month.
Policymakers remain committed to doing what is necessary to continue to support the Australian economy and maintain monetary policy until employment and inflation targets are met.
They also reaffirmed their commitment to maintain current interest rates until at least 2024 when inflation can survive within the 2 to 3%target.
So far, employment and inflation are seen to remain weak and it is expected to remain for several years.
Following that, the central bank is also poised to increase bond purchases higher, exceeding the $ 200 billion announced, if it will help progress to reach its target.
In terms of growth prospects, the RBA predicts that the reading of Gross Domestic Product (GDP) data for the first quarter of this year will increase more strongly than expected following the data that has been shown previously.
The Aussie dollar jumped to a 4 -week high against the weaker US dollar following the publication of the RBA meeting minutes report and the results of the Central Bank of China (PBOC) policy meeting at the beginning of the Asian session.
