The Reserve Bank of Australia has cut interest rates for the second time in a year in bid to head off a strengthening Australian dollar and protect the economy against falling mining investment.<br /><br /> Prices for iron ore, Australia’s number one export, have halved in recent months.<br /><br /> Interest rates are now at a new all-time low of 2%.<br /><br /> Analysts warned past housebuilding booms were likely to be repeated, and flagged the Sydney property market in particular as close to overheating.<br /><br /> Government revenues in resource-rich Australia are particularly hard-hit by falls in commodity prices.
