RBA buys AUD500 million of 2023 Australian government bonds
In an effort to control its yield curve, the Reserve Bank of Australia (RBA) announced Australian government bond purchases to the tune of AUD500 million on Wednesday.
The operational announcement on Wednesday marks the first bond purchases since May 4.
This comes after Governor Philip Lowe said in a statement on Tuesday, the central bank would resume its intervention as it seeks to maintain the three-year bond rate at 0.25%.
Market reaction
The above announcement was well-priced in before and therefore, the aussie dollar remains unfazed by it.
At the press time, AUD/USD hovers around 0.7180, still up 0.31% on the day.
Reprinted from FXStreet，the copyright all reserved by the original author.
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