Central Banks
Australia Considered 25 or 50 Basis-Point Interest-Rate Hike
- Unlike December, policymakers gave no consideration to a pause
- Says Australia to benefit more than others from China’s reopen
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Australia’s central bank considered two options for the size of its first interest-rate increase of 2023, minutes of its February meeting showed, eventually opting for a 25 basis-point adjustment while making a surprisingly hawkish policy shift.
Board members deliberated over whether to resume hiking in half-percentage-point increments, minutes of the Feb.7 meeting showed Tuesday. Unlike in December, there was no consideration of pausing the tightening cycle.