Further interest rate cuts by the Reserve Bank of Australia would do little to b...
FILE PHOTO: A pedestrian is reflected in a wall of the Reserve Bank of Australia head office in central Sydney, Australia, October 3, 2016. REUTERS/David Gray
The RBA this week cut its benchmark rate for the third time this year to a record low 0.75%, in a bid to revive employment growth, consumer spending and inflation, and said it was prepared to cut further if needed. “It’s done everything it can do. Once interest rates are negligible, further cuts would seem to have very little power to do anything useful.”
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