Scope for additional stimulus from RBA beyond April-May

The RBA board minutes for March reiterate the Bank's overt easing bias set out in the Governor's decision statement and are consistent with another move in the April-May window.

Westpac notes...

Although it is unclear which month the Bank favours there are more general indications that it will likely maintain a 'soft easing bias' for some time yet - references to the degree of excess capacity in labour markets, the weaker than expected medium term outlook for non-mining investment and uncertainty around the behaviour of borrowers and savers - suggest it will continue to see potential scope for additional stimulus if required beyond the April-May.