Breaking: RBA raises OCR by 50 bps to 1.85%, AUD/USD drops

The Reserve Bank of Australia (RBA) board members decided to increase the official cash rate (OCR) by 50 basis points (bps) from 1.35% to 1.85% at its August 2 monetary policy meeting.

The RBA was forecast to raise the cash rate by 50 basis points to 1.85% at its Aug. 2 meeting, according to 32 of 34 economists surveyed by Reuters during July 22-28.