Australia: RBA to lower the cash rate by 0.25% – Westpac

RBA today announces liquidity measures to support markets and foreshadows further policy measures to be announced on Thursday, Bill Evans from Westpac Institutional Bank briefs.

Key quotes

“The RBA Governor’s Statement noted that the Reserve Bank ‘stands ready to purchase Australian government bonds in the secondary market’.”

“The Statement indicated that the action was aimed at supporting the smooth functioning of the bond market.”

“This action in the bond market is not the Quantitative Easing policy which we have been anticipating will be adopted when the overnight cash rate reaches 0.25%.”