Australia raises benchmark rates to 15-year high as it fights sticky inflation

Australia's central bank on Tuesday raised rates to 4.6%, their highest level in 15 years as the country looks to contain inflation stoked by the Middle East conflict. The hike of 25 basis points was in line with expectations by economists polled by Reuters. The Reserve Bank of Australia has now raised rates four times this year by a total 100 basis points as inflation remains sticky. Australia's inflation has run above its target band of 2%-3% for 2026, hitting a high of 4.6% in March. The country's inflation rate last came in at 3.5% in July, beating estimates. August print is set to be released Wednesday.