Dhaka, Bangladesh (BBN)- The Reserve Bank of Australia (RBA) raised the target cash rate by 25 basis points to 4.75 percent on Tuesday as a preemptive strike against inflation.

On Tuesday, the Reserve Bank of India (RBI) also hiked its repo rate and reverse repo rate by 25 basis points each, to 6.25 percent and 5.25 percent respectively, as expected, to tackle inflationary pressures, a weekly review report said.

The Fed did not change rates but announced a second round of quantitative easing. It will buy USD 600 billion in US long term Treasuries, until the end of second quarter.

BBN/SSR/SI-06Nov10-11:29 am (BST)