The Reserve Bank of Australia raised its policy interest rate by 25 basis points to 4.1% on Tuesday, marking the highest level since April 2025.

Australia’s central bank on Tuesday lifted its key interest rate for the first time in more than two years, responding to a renewed rise in inflationary pressures.

Australia's central bank on Tuesday cut its main cash rate by 25 basis points to a two-year low of 3.85% citing a darker global outlook and cooling inflation at home, though it also remained cautious on further easing.

The Reserve Bank of Australia has reduced its policy interest rate by 25 basis points to 4.1%, marking the first rate cut since November 2020.

Chinese shares surged, along with most Asian equities, following signals from the country’s top leaders of stronger stimulus measures next year to revive its struggling economy.