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RBA Considered Interest-Rate Hike, Saw Pause Case as Stronger
Australia’s central bank considered raising interest rates two weeks ago before deciding the case to stand pat was “stronger,” while again signaling it’s prepared to tighten further should inflation take too long to return to target. The Reserve Bank left its benchmark rate at a 12-year high of 4.35% as it awaits data on the economy and inflation, minutes of the Dec. 5 meeting showed Tuesday. Members pointed to the possibility of a larger rise than anticipated in the unemployment rate – currently a very low 3.9% — with households already experiencing a “painful squeeze” on their finances. “Members ... (full story)