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Economy

Rate cut leaves Australia with few options for reviving economy

SYDNEY -- Now that the Reserve Bank of Australia has entered uncharted territory, it may not have anywhere else to go.

The board on Aug. 2 reduced the policy interest rate by a quarter of a percentage point to a record low of 1.5%, a move intended to push up prices and rein in the appreciation of the currency. But monetary easing is starting to lose its impact, and the central bank is running out of options for kickstarting the economy.

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