UPDATE 3-Australian banking regulator raises bank capital buffers by less than expected <!-- no image --> <div>* Regulator last week also eased lending rules (Adds background, Westpac statement, Moody's comment)<div class="feedflare"> <a href="http://feeds.reuters.com/~ff/reuters/UKBankingFinancial?a=IVDmnldJg1Q:Cy3o6ez8nRk:yIl2AUoC8zA"><img src="http://feeds.feedburner.com/~ff/reuters/UKBankingFinancial?d=yIl2AUoC8zA" border="0"></a> <a href="http://feeds.reuters.com/~ff/reuters/UKBankingFinancial?a=IVDmnldJg1Q:Cy3o6ez8nRk:V_sGLiPBpWU"><img src="http://feeds.feedburner.com/~ff/reuters/UKBankingFinancial?i=IVDmnldJg1Q:Cy3o6ez8nRk:V_sGLiPBpWU" border="0"></a> <a href="http://feeds.reuters.com/~ff/reuters/UKBankingFinancial?a=IVDmnldJg1Q:Cy3o6ez8nRk:F7zBnMyn0Lo"><img src="http://feeds.feedburner.com/~ff/reuters/UKBankingFinancial?i=IVDmnldJg1Q:Cy3o6ez8nRk:F7zBnMyn0Lo" border="0"></a> </div><img src="http://feeds.feedburner.com/~r/reuters/UKBankingFinancial/~4/IVDmnldJg1Q" height="1" width="1" alt=""></div> Posted by Reuters