Construction contractors are already hiking prices due to rising fuel costs, in a sign the US-Israeli war in Iran is contributing to economy-wide inflation.
Fresh modelling shows oil price shocks and soaring prices for other commodities will have a lasting impact on Australia's economy.
Domestic pressures were behind the Reserve Bank's decision to hike interest rates, governor Michele Bullock says, although the Iran war will worsen inflation.
An economic downturn might be needed to bring inflation back to target, economists warn, but the government can help with spending cuts and productivity reform.
Traders and economists widely expect the Reserve Bank to lift interest rates but uncertainty over the Iran war could convince the board to keep them on hold.
Economic data released this week will leave the Reserve Bank a little less concerned about underlying momentum in consumer demand, an economist says.
The battle to tame inflation has been thrown into more uncertainty by conflict in Iran and the Middle East, the Reserve Bank governor says.
Donald Trump has broken the record for longest State of the Union speech as he claimed the US is "winning" under his leadership, even as his poll ratings slide.
A small increase in underlying inflation has led to growing expectations the Reserve Bank will lift the cash rate in coming months.
Minutes from the Reserve Bank's latest meeting reveal the thinking behind its call to lift interest rates for the first in more than two years.
A surprise slide in consumer spending has thrown more uncertainty around the Reserve Bank's next move on interest rates.
Opposition MPs have grilled Reserve Bank officials over whether government spending and monetary policy errors contributed to the first rate hike in two years.
The Reserve Bank is widely tipped to become the first major central bank on Tuesday to U-turn from rate cuts to rate hikes in the post-COVID inflation era.
Spending blow-outs by the government will force the Reserve Bank to hike rates, critics say, but the treasurer argues the private sector is driving inflation.
Hotter-than-expected inflation figures have convinced analysts the Reserve Bank will lift rates as soon as next week, heaping pressure on mortgage holders.
Traders now tip a greater-than-50 per cent chance of an interest rate hike in February, but some pundits are holding out hope for a Reserve Bank reprieve.
A deterioration in the job market could spare Australian borrowers interest rate hikes in 2026, an economist says.
Britpop giant Oasis and Black Friday bargains have helped bring Australia's economy back in tune, adding to the case against Reserve Bank rate cuts.
A sharper-than-expected fall in inflation will encourage the Reserve Bank of Australia, but underlying price growth remains too hot for comfort.
The average mortgage-holder's repayments could soon jump an extra $90 a month, with another Reserve Bank interest rate hike on the cards as early as February.
The sharpest rise in household spending in 21 months suggests the economy is continuing to grow in strength, heightening Reserve Bank fears about inflation.
Equipment investment in Australia's IT sector almost doubled in three months amid a surge in data centre projects, which could help revive productivity growth.
Lower energy rebates and higher housing costs than a year ago have propelled the headline inflation rate to its highest level in 16 months.
An extraordinary rise in demand combined with constrained supply has created a boom in Australian home values and rents over the past five years.
Barring a material rise in unemployment or weaker-than-expected economic growth, mortgage holders can just about give up hope for any more interest rate relief.
Unlikely to receive another rate cut in the next six months, borrowers will at least see the big four banks face parliamentary scrutiny in Canberra this week.
The rising cost of new homes and services such as takeaway meals were key to the Reserve Bank's inflation miss in September and could rule out future rate cuts.
The coalition has sought to link a recent rise in inflation and unemployment to the 1970s economic malaise, but analysts say there is no need to panic.
All four major banks predict mortgage holders will have to wait until 2026 for rate relief after a larger-than expected inflation rise.
The economy is in a "good spot" but one sector is proving more stubborn than expected, the boss of the Reserve Bank says.
Strong growth in household spending earlier this year is unlikely to be matched, which could ease Reserve Bank fears of a return of inflation pressures.
central bank
economy, business and finance
inflation and deflation
interest rate
money and monetary policy
