The RBA leaves interest rate unchanged at 1.50 per cent at its May 2019 meeting.

Despite expectations of a cut, the Reserve Bank of Australia (RBA) has held the official cash rate at 1.5 per cent.

Reserve Bank Governor Philip Lowe said today’s decision to extend Australia’s longest-ever period of steady monetary policy followed below-target inflation, steady employment growth and a nationwide housing downturn.

Despite some concerns that a cut would rekindle the housing boom, CoreLogic’s head of research, Tim Lawless, said that it would not provide the same stimulus to housing that it has in the past due to tighter credit conditions.

“If the cash rate does move lower later this year, a reduction in mortgage rates would provide some support for housing demand; however, we may not see quite as much stimulus for housing market conditions that we have seen after previous rate cuts,” he said.