Aussie Dollar Rebounds After RBA Cuts Rate to Record as Forecast

Australia’s dollar rose against all its major peers as the central bank cut borrowing costs to a record low and said it would adjust policy to foster growth and keep inflation contained.

Australian government bonds slid after the Reserve Bank said the inflation outlook had allowed it to lower the overnight cash rate by a quarter percentage point to 2.5 percent, while damping expectations for further reductions. New Zealand’s dollar gained against most major peers after the nation’s government said the economy will avoid any immediate harm from the suspension of sales of some dairy products to China.