Reserve Bank Holds Interest Rates Steady at 4.35%

The Reserve Bank has kept interest rates on hold at 4.35 per cent.

The decision comes after recent data showed Australia's economy has lost momentum and that the unemployment rate has risen.

But with underlying inflation still too high, the RBA has chosen to keep rates steady to see how the economy performs in the coming weeks.

The decision was unanimous.

It means the official cash rate will remain at 4.35 per cent for two more months.

The next meeting will be held on August 10-11.