Central Bank Governor Michele Bullock expects headline inflation to drop into target on Wednesday, so why is she warning against near-term interest rate cuts?
Mortgage holders can breathe a sigh of relief following the Reserve Bank's decision to leave interest rates on hold at 4.35 per cent, as widely expected.
Mortgage holders have been granted another month of interest rate relief after the Reserve Bank of Australia left monetary policy unchanged, as expected.
More interest rate hikes are broadly off the table but the Reserve Bank governor is likely to keep her options open in a big week of public appearances.
The minutes from the December interest rate meeting will outline the Reserve Bank's thinking on inflation as households gear up for the festive season.
Consumer confidence has taken a hit after interest rates rose again, with businesses also cautious about the outlook despite overall economic resilience.
Mortgage-holders are in for more pain after Australia's central bank pulled the trigger on a widely-expected 25 basis point interest rate hike aimed at driving down stubbornly high inflation.
Consumer price figures will be hotly anticipated as decision-makers seek to confirm whether inflation is falling fast enough to keep interest rates on hold.
