* RBA decision expected on Nov. 3 at 0330 GMT
SYDNEY, Oct 19 (Reuters) - Australia's central bank is
expected to cut key rates to a historic low of 0.1% at its
monthly policy meeting next month, a majority of economists
polled by Reuters showed, as it looks to boost jobs and economic
As many as 21 of the 25 surveyed, or 84%, expect a 15 basis
point cut to 0.10% at the Reserve Bank of Australia's (RBA) Nov.
3 board meeting. One economist predicted a 10 basis point cut to
0.15% while the remainder forecast no change.
Analysts also predict the RBA would expand its government
"We now think that a proper Quantitative Easing (QE) is
simply a matter of time and we would not rule out a near-term
announcement," said RBC economist Su-Lin Ong.
ANZ economists expect a A$100 billion of QE, targeting
Australian government bonds with maturities between five and ten
"This number, combined with the bond purchases it has
already done, would be consistent with the size of the initial
QE programs of other central banks," the economists said.
The RBA had, in March, cut the cash rate to 0.25% and
launched an unlimited bond buying programme to depress
three-year bond yields in a bid to shield the blow to the
country's economy from the coronavirus.
It has so far bought over A$60 billion ($42.52 billion) of
The RBA has left the rate unchanged since March, though in
September expanded its cheap funding facility for banks to
ensure borrowing costs remained low.
In a shift in stance, Governor Philip Lowe last week
signalled the door was ajar for further easing in monetary
policy while adding the RBA board was considering whether to
expand its quantitative easing programme to include bonds with
maturities beyond three years.
The remarks prompted analysts to predict a rate cut in
November, sparking a rally in government bonds
and sending the Aussie dollar to a two-week
trough of $0.7056.
($1 = 1.4112 Australian dollars)
(Reporting by Swati Pandey; Editing by Sam Holmes)