Australian central bank lifts benchmark cash rate to 4.35% with 13th hike

By ROD McGUIRK
Associated Press

CANBERRA, Australia (AP) — Australia’s central bank has lifted its benchmark interest rate for the first time since June with a quarter percentage point hike that brought the cash rate to a 12-year high of 4.35%. The Reserve Bank of Australia’s 13th hike since May last year was widely expected after the nation’s inflation for the September quarter was higher than expected at 1.2%, or 5.4% for the year, driven mainly by the price of gasoline. The last time the cash rate was higher was in December 2011, when it was 4.5%. Bank Governor Michele Bullock said progress in cooling inflation had been slower than expected. She has not ruled out a further rate rise.