fulfilled expectations today by choosing to remain on the sidelines.
At its meeting today, the Reserve Bank left the official cash rate untouched at 3%. RP Data's national research director Tim Lawless said the move was largely expected.
"Consumer confidence has shown some improvement, commodity prices are once again on the rise, and share markets have shown some consistent gains as well," Lawless said.
Lawless said the RBA
would be "reasonably satisfied" with the impact on the housing market of its easing cycle, started in November 2011.
"Since that time dwelling values across the combined capital cities of Australia have increased by 0.8%, and values are up 3.1% since bottoming out at the end of May last year," he said.
But the decision to hold rates steady doesn't mean the Reserve won't move throughout the months to come, Lawless suggested.
"The big wild card remains the labour market; how high will unemployment go and at what level will the RBA
react with a further cut to the cash rate?"