RBA rate hike signals shift in monetary policy stance.

RBA rate hike signals shift in monetary policy stance. Markets are pricing in a 70% probability that the Reserve Bank of Australia will raise interest rates to 4.10% next week, with major banks including Westpac and NAB revising forecasts upward due to persistent inflation concerns. Meanwhile, geopolitical tensions in the Middle East are creating energy market volatility after Saudi Arabia intercepted drone attacks on the Shaybah oil field. In a significant supply chain development, Lynas Rare Earths secured a landmark 12-year deal with Japan, establishing a critical floor price for neodymium-praseodymium at $110 per kilogram to reduce dependency on Chinese rare earth supplies. These developments underscore mounting pressures on central banks globally while highlighting emerging risks to critical infrastructure and commodity markets.