The Reserve Bank of Australia (RBA) once again created a surprise after it unexpectedly raised interest rates by 25 basis points to 4.10% at its latest meeting.
The following are the main details taken from the meeting.
Inflation has peaked, but is still too high.
It will take more time before getting back within the central bank's target range.
Economic growth has slowed and the strengthening of the labor market has diminished.
The RBA remains wary of the risk of persistently high inflation expectations leading to greater increases in prices and wages.
The path to avoiding recession remains narrow.
The outlook for household consumption remains a key factor in uncertainty.
There is also uncertainty about the global economy, which is expected to grow at a below-average rate over the next few years.
Some further tightening in monetary policy may be necessary for inflation to return to target within a reasonable time frame.
However, it will depend on how the economy and inflation develop.
Following the published minutes it can be seen that RBA policymakers are a little hawkish following the recent resurgence of Australian inflation.
The Aussie dollar surged higher as soon as the data was published, hitting a three-week high of around 0.6678 against the US dollar.
