Australia central bank raises rates to 10-year high, says more needed

AUSTRALIA’S central bank on Tuesday delivered a widely expected interest rate hike at its last policy decision of 2022 and said more hikes are still needed ahead as policymakers seek to rein in inflation.
Wrapping up its December policy meeting, the Reserve Bank of Australia (RBA) lifted its cash rate by 25 basis points to a 10-year peak of 3.1 per cent, the eighth hike in as many months.
All 30 economists polled by Reuters had expected the RBA to go for another modest 25 basis point hike, its third in a row after a succession of half-point hikes.
“The Board expects to increase interest rates further over the period ahead, but it is not on a pre-set course,” said Governor Philip Lowe in a statement.
“The size and timing of future interest rate increases will continue to be determined by the incoming data and the Board’s assessment of the outlook for inflation and the labour market.”