Australian Dollar Seen Unscathed by RBA Rate Decision on Tuesday

MT Newswires Live06-17

Australian Dollar Seen Unscathed by RBA Rate Decision on Tuesday The Reserve Bank of Australia is likely to stick to its neutral policy stance following Tuesday's board meeting, leaving the Australian...

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We agree,\" Commonwealth Bank of Australia strategists said in a Monday note to clients.\"Our Australian economics team also expects the RBA to keep its neutral bias. Unless there is a material change in the post-meeting statement, we expect the RBA's announcement to have no material impact on AUD,\" they added.Consensus sees the RBA cash rate remaining unchanged at 4.35% at 12:30 am ET on Tuesday, while CBA strategists expect the bank to reiterate that it's still ruling nothing in and nothing out for the coming months.The central bank has said repeatedly that there remains uncertainty over the interest rate path required to ensure inflation falls back within the 2% to 3% target band, hence why it rules nothing in and nothing out for policy up ahead.Inflation has surprised on the strong side of expectations recently with the monthly indicator rising to 3.6% when data for April were released late last month, up from 3.5% in March. 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