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RBA Glossary definition for cash rate target

cash rate target – As in most developed countries, the stance of monetary policy in Australia is expressed in terms of a target for an overnight interest rate. The rate used by the Reserve Bank of Australia is the cash rate (also known as the interbank overnight rate). When the Reserve Bank Board decides that a change in monetary policy should occur, it specifies a new target for the cash rate. A decision to ease policy is reflected in a new lower target for the cash rate, while a decision to tighten policy is reflected in a higher target.

RBA Glossary definition for Cash Rate

Cash Rate – The interest rate which banks pay to borrow funds from other banks in the money market on an overnight basis. The cash rate is the Reserve Bank of Australia's operational target for the implementation of monetary policy. It is also an important financial benchmark in the Australian financial markets. It is used as the reference rate for Australian dollar Overnight Indexed Swaps (OIS) and the ASX 30 Day Interbank Cash Rate Futures. The Reserve Bank of Australia is the administrator of the cash rate. The cash rate is calculated as the weighted average interest rate on overnight unsecured loans between banks settled in the Reserve Bank Information and Transfer System (RITS). The Cash Rate is also known by the acronym AONIA in financial markets.

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Appendix C: Forecast Data and Alternative Specifications

29 May 2017 RDP 2017-02
James Bishop and Peter Tulip
data. However, our baseline results are not qualitatively affected if we re-estimate our models using cash rate changes in end-quarter Board meetings over this period. ... Since the Bank only began announcing cash rate outcomes from 1990 onwards, for the
https://www.rba.gov.au/publications/rdp/2017/2017-02/appendix-c.html

Anticipatory Monetary Policy and the ‘Price Puzzle’

1 May 2017 RDP 2017-02
James Bishop and Peter Tulip
2.1 Step #1: Construct the Measure of Monetary Shocks. The Board of the RBA meet to decide on the target cash rate 11 times per year, on the first Tuesday ... That is, we regress the change in the target cash rate announced at Board meeting m on the
https://www.rba.gov.au/publications/rdp/2017/2017-02/full.html

Romer and Romer's Approach

29 May 2017 RDP 2017-02
James Bishop and Peter Tulip
2.1 Step #1: Construct the Measure of Monetary Shocks. The Board of the RBA meet to decide on the target cash rate 11 times per year, on the first Tuesday ... That is, we regress the change in the target cash rate announced at Board meeting m on the
https://www.rba.gov.au/publications/rdp/2017/2017-02/romer-and-romers-approach.html

Robustness to Alternative Specifications

29 May 2017 RDP 2017-02
James Bishop and Peter Tulip
Approaches 1–5 follow the baseline in constructing shocks by using cash rate changes from forecast-month meetings. ... Because VARs are typically based on the cash rate in levels, we cumulate our measure of shocks over time.
https://www.rba.gov.au/publications/rdp/2017/2017-02/robustness-to-alternative-specifications.html