The official cash rate of the Reserve Bank of Australia remained at 1.5 percent. The decision was made during RBA’s final meeting prior the Christmas holiday and will the end the year with the same interest rates at a record low. The reserve bank explained that they choose to maintain the cash rate for 16 consecutive months because of the notable growth in wages were consistently steady while inflation stayed below the 2 percent target. Australia’s federal executive government are preparing for a mixed results of GDP figures upon the release of national accounts on Wednesday. Moreover, the economy’s investment declined by 7.5 percent during the months from June to September, which triggered speculations of a weak GDP growth by 2.7 to 3 percent this year. On Tuesday, the Australian Bureau of Statistics provided data that shows further slackening retail figures, accompanied by 5 percent growth on food services such as cafes and restaurants for the month of October.
