Australia Inflation: Too High To Ignore

Oct. 28, 2023 6:00 AM ETEWA, FLAU, FXA
Neuberger Berman
3.16K Followers

Summary

  • Australian Consumer Price Index (CPI) surprises with higher-than-expected inflation, potentially leading to a restart of the Reserve Bank of Australia's hiking cycle.
  • RBA projections for inflation may need to be revised as GDP and labor market data remain strong, putting pressure on the central bank to deliver another rate hike.
  • RBA Governor Michele Bullock's remarks suggest that the central bank is considering raising the cash rate further if there is an upward revision to the inflation outlook.

Inflation in Australia

CraigRJD

By Karol Sindera


CPI in Australia remains elevated, which could cause the Reserve Bank of Australia to restart its hiking cycle next month.

The Australian Consumer Price Index delivered an upside surprise to the market on Wednesday, with both

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