Australia raises interest rates to 15-year high

Australia's central bank has raised interest rates by 0.25% to 4.6%, the highest since 2011. The move aims to curb persistent inflation, which was at 3.5% in July, above the 2-3% target. The Reserve Bank cited ongoing global uncertainties, including the Middle East conflict and rising energy and tech costs driven by AI, as factors maintaining upward pressure on prices. The rate hike adds further strain on Australian households, with nearly 1.8 million mortgage holders at risk of mortgage stress due to multiple rate increases this year.