RBA interest rates: Reserve Bank hikes cash rate to 4.6%, the highest level since 2011
Source: The Guardian ·
Widely expected decision is fourth increase to interest rate this year and will be blow to mortgage holders across AustraliaFollow our Australia news live blog for latest updatesGet our breaking news email, free app or daily news podcastThe Reserve Bank of Australia has lifted its key interest rate to 4.6%, its highest level since 2011, while warning of further hikes.The widely expected fourth…
From the source
The Reserve Bank of Australia has lifted its key interest rate to 4.6%, its highest level since 2011, while warning of further hikes. The widely expected fourth increase to the cash rate this year will add to repayment costs for millions of mortgage holders across the country. Before Tuesday’s meeting, it sat at 4.35%. In a statement accompanying the RBA’s rate setting board’s unanimous decision, it warned its fears about inflation were beginning to be realised and it was ready to lift interest rates again. It highlighted a broadening Middle East conflict and strong AI-related demand for pushing up prices globally. Locally, inflation was higher than the RBA expected, and businesses were either lifting prices or looking to do so. The board said higher fuel costs were affecting the prices of other goods and services, and it was possible the ongoing US war on Iran could push inflation higher and drag global economic activity further down. The RBA had previously lifted interest rates…