AUD/USD flows: CPI Rockets

The Australian CPI rocketed higher with Q1 quarterly at 4.1% from 3.6% in Q4 2025, trimmed mean CPI is slightly cooler at 3.5% y/y. Monthly CPI is also red hot at 4.6% from 3.7%. It significantly increases speculation of an imminent hike from the RBA normally, but since it is cost driven mostly, the RBA may weigh the pros and cons before tighening immediately.

AUD/USD is trading 0.29% lower at 0.7161.