Glenn Stevens, announced today that the Central Bank of Australia decided to keep its interest rate at 2.75% with “considerable prospects of a pick-up next year”. While some countries made changes in their monetary policies, the unemployment rate is rising and the economic growth is under expectations. Moreover, the easier financial conditions will help the economy get to better results and further easing is considered in order to keep the inflation stable.
In the most recent speaks of the FOMC members, the effects that the QE program is having on the U.S. economy are gaining attention. Now, the officials are concerned about the possible addiction of the economy concerning the near to zero short-term interest rate and the easing policy. Yet, prospects for the economy remain positive.