The Reserve Bank of Australia (RBA) on Tuesday kept interest rates unchanged, but surprised some investors by not mentioning the Aussie dollar's recent slide.
As widely expected, the central bank held interest rates at a record low of 2.5 percent, where they have been since August last year, and maintained that it was "prudent to have a period of stability in rates."
But the RBA said the Aussie dollar remained high by historical standards, despite the currency sliding more than 6 percent against the U.S. dollar in the last month, to trade at $0.8748 Tuesday.
"The statement today is much more of a 'cut and paste' of recent months," said Annette Beacher, economist at TD Securities. "We were all looking for a phrase along the lines of a 'depreciation of the Australian dollar will help with the economy' [because] that's the phrase they used regularly... so that entire phrase or tone was missing today."
But Beacher acknowledged that it could be a deliberate strategy by the RBA, which has made no secret of its preference for a weak currency.
"The governor knows we watch every phrase so it could be a deliberate strategy not to talk about how low the currency is but to emphasize how high it is compared with commodity prices and historical norms," she said.