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Central Bank Focus

RBA Hikes, But Inflation Case For More Hikes Is Weak

by Gabriel Gosselin, Research Associate   Felix-Antoine Vezina-Poirier, Chief Strategist  

Stay long Australian rates as market expectations for further RBA hikes have overshot. The RBA raised its policy rate by 25 bps to 3.85%, as expected, following upside surprises in recent CPI prints. The accompanying statement acknowledged that inflation is…

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