RBA Stands Pat on Interest Rates Amid Inflation Concerns

The Reserve Bank of Australia (RBA) has left the official cash rate at 4.35%, as widely expected, following three hikes earlier in the year.

The RBA pointed to rising unemployment and a weak property market, stating that its policy decision was unanimous.

'The disruption to global oil supply is adding directly to inflation and there are indications that higher fuel prices are being passed through to prices of other goods and services,' it said. 'This inflation impulse is in addition to the effect of capacity pressures in the economy.'

Reserve Bank Governor Michele Bullock took a hawkish tone, suggesting that rates may be lifted if needed.