Australia: Central bank hikes rate to six-year high 1.85%

Source: Seattle Times

“Australia’s central bank on Tuesday boosted its benchmark interest rate for a fourth consecutive month to a six-year high of 1.85%. The Reserve Bank of Australia’s decision was the cash rate’s third consecutive hike of half a percentage point. When the bank lifted the rate by a quarter percentage point at its monthly board meeting in May, it was the first rate hike in more than 11 years. The cash rate is now at its highest point since May 2016 when the bank cut the rate from to 1.75% from 2%. … Tuesday’s hike was widely anticipated after official data released last week showed inflation in the year through June was 6.1%, up from 5.1% in the year through March. Inflation only rose by 3.5% during the last calendar year.” (08/02/22)