RBA holds rates unchanged

The Reserve Bank of Australia left interest rates unchanged on Wednesday 4 February, pausing after two increases in November and December.

The higher Australian dollar has dragged on the economy and evidence is increasing that a consumer borrowing boom may be cooling.

Monthly retail sales figures released shortly after the rate announcement showed the first fall in a year in spending. Analysts said that seemed to support the decision by the bank's policy-setting board to sit back and assess how