Good afternoon. It’s a Tuesday surprise with the Reserve Bank defying the expectations of most economists and hiking the cash rate 25 basis points to 3.85%.
The market had largely expected the RBA to hold interest rates this month following a slight easing of inflation. The rate hike comes amid significant scrutiny of the central bank, with Greens senator Nick McKim warning in a column today that the federal government’s planned reforms might actually push the Reserve Bank further into the interests of corporations.
In other news, the health minister has revealed a tax increase on tobacco which will kick in later this year.
Top news
New Qantas CEO | Qantas’s chief financial officer, Vanessa Hudson, will replace Alan Joyce as the airline’s chief executive in November, making her the first woman to run Australia’s national carrier. But the Labor senator Tony Sheldon said Joyce standing down was not enough, and that the airline needed a broader “renewal”.
RBA rate hike | The Reserve Bank governor Philip Lowe acknowledged inflation in Australia has “passed its peak,” but said 7% was “still too high”. “Given the importance of returning inflation to target within a reasonable timeframe, the board judged that a further increase in interest rates was warranted today.”
Higher tobacco taxes | The Albanese government will increase the tax on tobacco by 5% per year over the next three years, the health minister has revealed, alongside a suite of measures to crack down on vaping. “We know that a higher-price cigarette is a more unattractive cigarette,” Mark Butler said on Tuesday.
NRL chief sparks outrage | Anti-gambling advocates have reacted furiously to the NRL chairman Peter V’landys’s open pursuit of gambling revenue, criticising his description of sport as “wagering content” as scandalous and counterproductive. V’landys said the “quiet part out loud” in his quest to generate revenue from the US betting market, an anti-gambling advocate claimed.
Toyota Australia exec talks down EVs | Sean Hanley, the automaker’s sales boss, said it was too early for electric vehicles to replace all cars. But the comments drew criticism from environmental groups that said it was “laughable” that Toyota is pushing for petrol cars amid a climate and cost-of-living crisis.
Aged care providers accused of playing down incidents | Aged care providers have reported the highest number of instances of “unreasonable force” in a quarter since records began two years ago, with the sector facing accusations that they have downplayed the harm caused. The behaviours include squeezing, grabbing, pinching, rough handling, hitting, pushing and forcing someone to move against their will.
France clashes | At least 108 police were wounded and 291 people detained across France as violence erupted in several cities, after trade unions transformed their traditional Labour Day marches into anti-government demonstrations against the rise in the retirement age.
US bride killed moments after wedding | Samantha Miller, 34, was leaving her wedding reception when a drunk driver slammed into the newlywed couple’s golf cart on a South Carolina beach road. Three others in the golf cart were injured, including the groom, who remains hospitalised and in critical condition.
Serena Williams’ Met Gala announcement | The tennis champion confirmed she was pregnant with baby number two, telling reporters at the star-studded Met Gala in New York that there were “three of us” on the red carpet when she arrived with husband Alexis Ohanian.
In pictures
Karl Lagerfeld was the theme at this year’s Met Gala in New York, with frocks – like Jeremy Pope’s outfit above – honouring the late fashion designer. Check out our photo gallery.
What they said …
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“The government’s supposed plan to raise the rate of jobseeker exclusively for those over 55 is bafflingly cruel, discriminatory, and stupid.” – Australian Unemployed Workers’ Union
The government has yet to officially confirm the budget will only give a rise for older unemployed Australians, but this morning treasurer Jim Chalmers defended the idea.
In numbers
Half of voters support raising the rate from $50 a day, significantly outnumbering the 28% who oppose, according to the latest Guardian Essential poll.
Before bed read
Has France gone to hell? Many in France seem to think so, but the facts tell a different story.
It performs better than most OECD countries on inequality reduction, climate action and infrastructure – more than 200km of new metro track and 48 new stations is being built in Paris for 20% of the per-km cost of New York City’s most recent line extension.
“How sad if the real narrative about France – a remarkably successful social democracy – were lost to the lowest common denominator of the challenges it faces,” writes Alexander Hurst, adjunct lecturer at Sciences Po, the Paris Institute for Political Studies.
Daily word game
Today’s starter word is: RENT. You have five goes to get the longest word including the starter word. Play Wordiply.
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