RBA deputy governor signals November rate rise as inflation outlook darkens
Deputy governor Hauser says inflation outlook is materially worse than August, signalling November rate rise is likely.
Andrew Hauser, the Reserve Bank of Australia's deputy governor, told an investment conference in Sydney on Wednesday that the inflation outlook has deteriorated sharply since August. Oil prices are about a third higher than the RBA projected, driven by Middle East tensions.
AI and technology prices are also feeding into consumer price increases, here and globally. The central bank's cash rate sits at a 15-year high of 4.6 per cent after September's hike.
Inflation has stayed above the RBA's 2-3 per cent target for 13 straight months, and unemployment just hit a five-year high of 4.7 per cent. The RBA's next decision and updated forecasts are due November 3.
- 4.6 per cent
- RBA cash rate
- 13 straight
- Months above 2-3 per cent target
- 4 per cent
- August inflation annual pace
- 4.7 per cent
- September unemployment
Why it mattersFurther rate rises would deepen pain for borrowers, potentially slowing growth and pushing more households into financial stress.
AustraliaIf the RBA raises rates on November 3, Australians with mortgages face higher repayments, and the economy may slow further.
✓ Claims checked against the source and corrected before publish. checked 2 h ago
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