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The Guardian - AU

National

Peter Hannam

Does Australia’s higher-than-forecast 3.6% inflation dash hopes for an interest rate cut?

Inflation Australia United States Reserve Bank RBA

Reserve Bank Australia — The Reserve Bank board, which meets on 6-7 May, will carefully assess the March inflation numbers but it’s hard to imagine a major change of tack on interest rates. Photograph: Mark Baker/AP

A higher-than-forecast inflation result for the March quarter (and March itself) wasn’t the news Australian borrowers or the Albanese government had been wishing for.

Disappointment, however, needn’t usher in panic spasms either.

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