August 31, 2018 / 8:32 AM / 3 months ago

POLL-Australia c.bank seen extending record run of stable rates

* reuters://realtime/verb=Open/url=cpurl://apps.cp./Apps/cb-polls?s=GCR01+2H+7&st=Menu+G+C poll data

* RBA decision due 0430 GMT Tuesday, Sept. 4

SYDNEY, Aug 31 (Reuters) - Australia’s central bank will likely extend its record stretch of stable rates well into next year, a Reuters poll of 42 economists found on Friday, with a 25-basis-point hike not expected before end-2019.

The Reserve Bank of Australia (RBA) last cut rates to 1.50 percent in August 2016, and with inflation staying low, markets are settled in for a prolonged period of steady policy.

RBA Governor Philip Lowe has repeatedly said rates will stay at record lows for some time to come as inflation lingers stubbornly below the bank’s 2-3 percent target band.

The RBA last raised rates in November 2010 to 4.75 percent.

Of the 42 economists polled, 41 forecast the RBA would stand pat at its policy meeting on Sept.4, with one predicting a cut.

The median results are unchanged from the previous survey although a greater number of analysts now expect the RBA to stay on the sidelines until 2020.

Of the 34 economists who extended forecasts into 2020, 11 see a steady outlook, including Perpetual, Bank of America-Merrill Lynch, AMP, JPMorgan, Standard Chartered and Westpac.

That compared with eight in the last poll on Aug.3. (Reporting by Swati Pandey Editing by Darren Schuettler)

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