Reserve Bank of Australia meeting minutes suggest another rate drop in 2013

Australian interest rates predicted to fall lower.

Australia's Central Bank, the Reserve Bank of Australia has hinted that they are not done with lowering the official interest rates, and that has caused the Australian DOllar to fall lower.
The theory is that Australia's economy is in transition, as the China mining boom comes to an end, and other industries and sectors need to take up the slack, both in business investment and jobs growth. The easiest path for that to happen is a lower Australian dollar to help local manufacturing compete against cheap imports, and at the same time making Australian exports cheaper and therefore more competitive.
So even though the RBA signalled no immediate rate move down, the currencies markets took early positions and sold the Australian Dollar down.
So the RBA is suggesting it wants the $AU lower, without having to move rates itself.

Quote from the RBA minutes today.
“Members agreed that the bank should neither close off the possibility of reducing rates further, nor signal an imminent intention to reduce rates further,”Interest rates could be lower before the end of the year.

Some experts are predicting the Australian Dollar to be 88 cents by the end of the year, and that there will be another rate cut before Christmas, if the RBA deems that it is necessary to achieve Australian Government policy objectives.
Australia’s currency will weaken to 88 cents by the end of next year, according to the median estimate of analysts surveyed by Bloomberg News. They expect the kiwi to drop to 76 cents.

Mr Mortgage