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Australia's central bank raises rates to 3.25 percent


    SYDNEY (Reuters) - Australia's central bank raised its key cash rate by 25 basis points to 3.25 percent on Tuesday, as surprising economic strength allowed it to withdraw some of the exceptional stimulus doled out during the global credit crisis.

    The Reserve Bank of Australia (RBA) made the announcement following its monthly policy meeting. It was the first hike since March, 2008 and unwound just a little of the 425 basis points of easing delivered during the credit crisis.

    (Reporting by Wayne Cole; Editing by Jonathan Standing)