SYDNEY—Australia’s central bank bought A$5 billion ($2.87 billion) in local government bonds on Friday, in the first round of its unlimited quantitative easing program as it looks to cushion the economic shock from the CCP (Chinese Communist Party) virus, commonly known as the novel coronavirus.
The Reserve Bank of Australia’s (RBA) operation is aimed at reducing the funding costs for banks so that cheap credit is freely available across the economy that is on the verge of its first recession in nearly three decades.
