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RBA now twice as likely to hike interest rates as US-Iran war drives fuel prices higher

Economy The Guardian By Patrick Commins Economics editor 21 Jul 2026 15:00 1 min read
RBA now twice as likely to hike interest rates as US-Iran war drives fuel prices higher

Experts warn global energy market at a ‘critical juncture’ with escalating Middle East crisis expected to further drag on a slowing Australian economy Follow our Australia news live blog for latest updates Get our breaking news email, free app or daily news podcast The likelihood of a Reserve Bank interest rate hike has doubled, according to market forecasts, as the escalating Middle East crisis once again drives fuel prices higher amid dwindling global oil reserves. The total breakdown in th

Experts warn global energy market at a ‘critical juncture’ with escalating Middle East crisis expected to further drag on a slowing Australian economy

Follow our Australia news live blog for latest updates

Get our breaking news email, free app or daily news podcast

The likelihood of a Reserve Bank interest rate hike has doubled, according to market forecasts, as the escalating Middle East crisis once again drives fuel prices higher amid dwindling global oil reserves.

The total breakdown in the fragile ceasefire between the US and Iran has sent the international Brent crude benchmark surging by 23% over the past two weeks and back within reach of $US90 a barrel.

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