Australia Rate-Cut Bets Ease as RBA Stresses Inflation Risks

Traders pared bets on near-term policy easing in Australia as the central bank warned that third-quarter inflation may come in stronger than expected and signaled patience on further interest rate cuts.

The Reserve Bank’s board held its cash rate at 3.6% on Tuesday after three cuts this year, while reiterating that it remains cautious about the outlook and stressing that data will dictate future moves.