Australia’s central bank raises rates to 12-year high, tempers hawkish stance

Australia's central bank raised interest rates to a 12-year high on Tuesday, ending four months of steady policy, but left it open on whether even more tightening would be needed to bring inflation to heel. Wrapping up its November policy meeting, the Reserve Bank of Australia (RBA) raised its cash rate by 25 basis points to 4.35%, saying recent data suggested there was a risk inflation would remain higher for longer. "Whether further tightening of monetary policy is required to ensure that inflation returns to target in a reasonable timeframe will depend upon the data and the evolving assessment of risks," RBA Governor Michele Bullock said in a statement.