Rates pressure eases as inflation figures released
Inflation rose less than expected in the three months to June, easing pressure on the Reserve Bank to raise interest rates at its next meeting in August.
The consumer price index, a broad gauge of inflation in the economy, increased by 0.6 per cent in the June quarter from 0.9 per cent in the three months to March, according to the Australian Bureau of Statistics. Economists had tipped CPI would come in at 1 per cent for the June quarter.
The RBA has raised interest rates six times since October as the economy rebounded from a slowdown. Prior to today's CPI release, markets were rating the chance of another rate rise when the bank's board meets next Tuesday as less than a one-in-three probability.