The minutes of the Reserve Bank of Australia’s meeting two weeks ago on the fifth of July, which saw an increase in interest rates by 50 basis points to 1.35%, issued this morning, Tuesday, showed that the market expectations of interest rates at 3% by next December.

Members noted that inflation in Australia has risen significantly and is expected to rise further in the near term and peak later this year before returning to the 2-3% target range of the bank next year 2023 and that higher interest rates will help Create a balance.

When the decision was made, the minutes showed that members had considered the possibility of raising interest rates by 25 basis points or 50 basis points, and members agreed that the arguments for raising 50 basis points were stronger as interest rates are still low compared to high inflation, and accordingly members agreed to take further measures Tightening monetary policy until inflation returns to the bank’s target.

The Australian dollar rose by 35points this morning, and is trading at 0.6847 levels against the US dollar.