Australian Q3 CPI (all groups) +3.2% y/y
The Australian Q3 CPI has come in higher than expected at 3.2% y/y with trimmed mean CPI at 3% y/y. It is a strong number and have erased market participants expectation of a November cut from the RBA. The latest rhetoric from RBA governor Bullock has also turned hawkish and thus the next rate cut could be push towards Q1 2026.
The AUD/USD is trading strongly at 0.6595 after a knee-jerk spike to 0.6607 on release.