2013.04.0202:08:11UTC+00Australia stocks advances, interest rate at 3%

Australian stocks advanced shyly on early Tuesday, with investors returning to the market after the Easter holiday. The S&P/ASX 200 Benchmark Index was recently gain 5 points at 4,971. On the other hand, the Reserve Bank of Australia left the country's key interest rate unmoved at 3%, meeting widely held assumptions by economists. The rate has been at 3% since December when financial lawmakers cut it by a quarter-percentage point. The central bank said in a statement that international progress is "forecast to be a little below average for a time, but the downside risks appear to be reduced." Policy makers, led by Governor Glenn Stevens, also stated labor costs remain contained "and businesses are focusing on lifting efficiency. These trends should help to keep inflation low, even as the effects on prices of the earlier exchange rate appreciation wane." Australia's currency was moved a notch after the decision, trading at $1.0466. It settled late Monday at around $1.0422. Among equities, the S&P/ASX 200 was 0.1% higher at 4,970.