Released on Tuesday (Monday night EDT), the Reserve Bank of Australia’s minutes from their meeting of March 2 revealed that Board members considered it “appropriate for interest rates to move gradually towards normal levels, and that it was time to make take another step in that direction”. The minutes also said, "Some recent indicators suggested that growth might already have been running at or close to trend for a few months." The central bank also said that inflation is likely to fall to around 2.5% in the year ahead. The RBA also said that growth will be "around trend rates over the next couple of years" and global economic activity will “continue at a reasonable pace with significant regional differences". With traders no doubt focusing on the fact that rates will move “gradually”, AUD/USD weakened to $0.9125USD following the announcement.
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