I posted a preview earlier, here:
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The data is due at 0130 GMT
Headline
• expected 1.8% q/q, prior 2.2%
For the y/y,
• expected 6.2%, prior 5.1%
Core inflation
Trimmed mean
• expected 1.5% q/q, prior 1.4%
• expected 4.7% y/y, prior 3.7%
Weighted median
• expected 1.4% q/q, prior 1.0%
• expected 4.3% y/y, prior was 3.2%
ING with RBA implications:
- 2Q22 CPI inflation out shortly will have a direct bearing on how much tightening the RBA does at next week's rate meeting.
- A further 50bp rate hike definitely is on the agenda and priced in already.
- A much stronger figure than the 1.9% QoQ consensus expectation taking inflation well above 6% could see 75bp being considered by markets.
The Reserve Bank of Australia is forecasting core inflation to drop back into its 2 to 3% target band in 2023. I do hope the RBA is self-aware enough to accept how badly it has performed in forecasting inflation and pays heed to data, not to their own misguided projections.
