
ALT The RBA’s rate-setting board has warned its fears about inflation were coming to fruition and it is ready to lift interest rates again. The 9-member unanimously voted to lift rates to 4.6% today. It singled out 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 lifting their prices or looking to do so. The board said higher fuel prices were being passed on to prices of other goods and services and it was possible the US war on Iran could push inflation higher and drag global economic activity even lower. The RBA already lifted interest rates 3 times this year. The board said those hikes appeared to be slowing the economy but another was needed to bring inflation back down. It warned it was not necessarily done, saying: "The Board will continue to do what it considers necessary to bring inflation sustainably back to target, including increasing the cash rate further."

































