The Reserve Bank of Australia rate decision

Today was the rate decision by the Reserve Bank of Australia, where unexpectedly it kept the interest rates steady at 4.25%, as it said that rates of inflation will remain within the limits of the target during the next two years.

Australian government bonds rose directly after the issuance of the RBA's rate decision, as the Australian bonds for ten years advanced by 7 basis points along with the bonds for three years that rose by 14 basis points to 3.48%.

Also, the RBA announced that the level of trade began to decline, yet it said that there is a slight improvement in the euro zone crisis but there is still more to be done for the European debt crisis

The RBA said that the businesses sector advanced slightly, and the House prices show a semblance of stability, yet credit growth is still modest.