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Inflation jumps to 4.3%, adding to pressure for RBA rate rise next week

By Isaac Gross, Lecturer in Economics, Monash University

Australia’s annual inflation rate jumped to 4.3% in September, up from 4.0% in August, keeping pressure on the Reserve Bank ahead of Tuesday’s interest rate decision.

Market expectations for another rate rise next week – which would be the fifth this year – surged to 80% after the inflation report.

Petrol and holiday costs helped drive the increase. But the more important test…

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