Australia's Central Bank Hikes Rates to 15-Year High

Australia's central bank has raised its cash rate to a 15-year high of 4.6%, following a unanimous vote by the Reserve Bank of Australia (RBA) board.

The hike, which is the fourth this year, comes as the RBA says some inflation risks have materialized and that it's prepared to raise rates further if needed.

RBA Governor Michele Bullock said the board considered keeping interest rates steady but decided to proceed with a 25 basis point increase.

Bullock noted that the central bank is now trying to anticipate what the rate rises so far will do to the economy and whether they'll be restrictive enough to bring down inflation.