The Australian Central Bank raises interest rates to the highest level in 11 years

The Reserve Bank of Australia raised interest rates by a quarter point to 4.1%, the highest level in 11 years and warned that further tightening may be required to ensure inflation returns to target. Philip Lowe said the recent rate hike "will provide greater confidence that inflation will return to target in a reasonable time frame."

The RBA has raised interest rates by 400 basis points since May last year, the most tightening cycle in its recent history. The Australian dollar rose after raising the interest rate by 0.8% to $ 0.6667, its highest level in two and a half weeks, and the three-year government bond yield rose 12 basis points to 3.660%, the highest level since February.