Aus macro/CPI

The Quartlery CPI stats are out (alongside the newer monthly indicator); they are warm, definitely warmer than expected.

QoQ weighted median, trimmed mean, whatever metric you looked at, was 0.1-0.2% above consensus.

This pushed back rate cuts; really, all that matters is inflation returning to target, and whilst some of this might be seasonal (health and education were two of the biggest contributors, which have Jan price rollovers) the RBA will just opt for caution, and in this case it means pushing back on the timing of cuts that are priced into the market.

Market really didn’t like the print, risky assets down, duration sensitive assets down, dollar up.

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