Australia central bank holds rates at 4.1% for fourth month

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Pedestrians walk past the Reserve Bank of Australia building in central Sydney, Australia, Feb 10, 2017. REUTERS/Steven Saphore/File photo

People passing by the RBA building in central Sydney — Pedestrians walk past the Reserve Bank of Australia building in central Sydney, Australia, Feb 10, 2017. REUTERS/Steven Saphore/File photo

SYDNEY – Australia’s central bank held interest rates steady on Tuesday for a fourth month, but again warned that further tightening might be needed to bring inflation to heel in a reasonable timeframe.

Wrapping up its October policy meeting, the Reserve Bank of Australia (RBA) held rates at 4.1 percent and said recent data were consistent with inflation returning to its 2–3 percent target over time with output and employment still growing.

Markets had wagered heavily on a steady outcome this month, though there is still some chance of a hike in November depending on how inflation progresses over the third quarter.