SYNDEY, Aug 2 (Reuters) – Australia’s central bank on Tuesday raised its main interest rate by half a percentage point to 1.85% and signaled further hikes could follow, while specifying that it did not follow a predetermined trajectory.
After its meeting, the Reserve Bank of Australia (RBA) said the hike was another step in the “normalization” of its monetary policy, dropping a reference to the reduction of exceptional support measures.
The magnitude of this rate hike, the fourth since May, was widely expected by the markets. (Report Wayne Cole, French version Laetitia Volga, edited by Jean Terzian)