RBA deputy governor Andrew Hauser said the inflation outlook is “materially worse” than the bank had forecast, raising the chance of another rate hike as soon as November. He warned that some people no longer expect inflation to return to the 2–3% target, with some businesses seeing 3–3.5% as the new normal, while inflation stood at 4% in August. Markets now price a 51% chance of a November hike, up from below 20% last week, after unemployment hit a five-year high of 4.7% in September. UBS’s George Tharenou called Hauser’s remarks “hawkish,” and Hauser acknowledged it was hard to explain why the RBA was “laying shorter-term pain on top of pain” to prevent worse pain later. The decision and quarterly forecasts are due on November 3, Melbourne Cup day.
Summary written by Upside AI from the original article. Read the source for full details.
Original headline: RBA deputy warns inflation outlook materially worse ahead of November meeting
Read the original on abc.net.au ↗
Related tickers and likely impact
AUD/USD
▲ Likely positiveRelevance: medium
| Market | Currencies |
|---|---|
| Close on 10/20/2026 | 0.70040 |
| Change that session | +0.35% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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