Australia's central bank left interest rates steady today a month after cutting them to all-time lows.

The bank said that policy needed to be stimulative given weak economic growth, a high currency and tame inflation. 

The Australian dollar moved higher after the Reserve Bank of Australia did not include an explicit bias to ease again, though it did pledge to weigh policy with an eye to coming economic news. 

The decision was no surprise as a Reuters poll of 24 analysts had found all expected rates to remain at 2% this week, while eight still looked for another easing by year-end.

Australia's central bank has already eased twice this year as the unwinding of a once-in-a-century mining boom carves a large hole out of business spending and national incomes. 

But investors suspect the RBA may not be done yet. The need for stimulus should be evident when the Australian Bureau of Statistics releases its report on gross domestic product (GDP) tomorrow. 

Australia's $1.6 trillion of GDP is expected to rise a moderate 0.7% in the first quarter, while annual growth likely slowed further to 2.1%. 

While the economy has not suffered a full blown recession since 1991, it has been travelling below its ideal pace of around 3.25% for much of the past six years. 

That has seen unemployment slowly rise to near-decade highs at 6.2%, squeezing wages and household incomes. 

Yet the hundreds of billions lavished on resource production is driving a sustained increase in export volumes, even as the price of many of those commodities has tumbled.

That is proving an invaluable support to activity as data today showed net exports added half a percentage point to GDP last quarter, well above analysts' estimates. Indeed, net exports alone likely accounted for more than half of all the growth in the year to March. 

The RBA would like to further heighten this advantage via a lower currency and has openly invited markets to take it down. 

"Further depreciation seems both likely and necessary, particularly given the significant declines in key commodity prices," was Governor Stevens' view today.