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Lineball RBA call does little to dissuade market of sky-high rate bet

A split in the Reserve Bank of Australia board over whether to raise interest rates has done little to deter bond traders from betting that the central bank will keep pushing borrowing costs to their highest level in 15 years.

Money markets moved bond rates after RBA governor Michele Bullock argued that the central bank’s close five-to-four vote in favour of a rise was more about the timing rather than the direction of policy settings.

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